I'm no expert, but is the age old "buy and hold" still good policy? Certainly it has worked in the past. Below is a monthly chart of the S&P going back 40 years. Click for full size - Uploaded with plasq's Skitch As you can see, buy and hold certainly worked for a large chunk of the time. Especially for those who started putting away back in the 60's, 70's and 80's, otherwise known as the baby boomers. Maybe the same people who are responsible for promoting the "buy and hold" strategy. Sure it worked for them. But will the same thing work for us younger folk? It looks like buy and hold stopped working around 1997. Is there a possibility that the current generations will have to be more nimble with their finances, or at least more financially savvy than the baby boomer generation? Could we say that the uptrend from 1969-1997 was due in most part to America's booming economic growth? And if so, can we expect that same growth in the coming decades? Something that has been on my mind.