Which of the Following Are Advantages of the Buy and Hold

question 108

Multiple Choice

Which of the following are advantages of the buy and hold strategy?
I. rapid accumulation of wealth
II. low transaction costs
III. capital gains taxed at the long-term rate
IV. portfolio requires less time and energy to manage than for most other strategies

• A) I and II only
• B) II and III only
• C) II, III and IV only
• D) I, II, III and IV

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Definitions:

Femoral

Pertaining to the thigh or femur bone, which is the longest and strongest bone in the human body.

Tibial

Pertaining to the tibia, the larger and stronger of the two bones in the lower leg.

Interneuron

A type of neuron that transmits signals between sensory neurons and motor neurons, playing a critical role in reflexes and neuronal circuits.

Sensory Neuron

A type of neuron responsible for converting external stimuli from the environment into internal electrical impulses towards the brain or spinal cord.