To me, long term is defined as the time horizon required to let your investment reach the full valuation level projected upon taking up that investment. Of course, given the forward looking nature of the market, if fundamental developments cause you to alter your investment target significantly, then by all means, act accordingly.
For the type of securities I currently seek and hold, it's my perception that the market hasn't yet fully recognized its true value. It gets to be a waiting game sometimes until the values are realized, and so it will tend to make the time horizon variable.
Whether it takes six months, a year, two years, or ten, I'll let the market decide. Just make sure though that the values are indeed there, and that the management vision being carried out is in accordance with your performance expectations for the company.
RT |
