The Surprising Success of the 'Do Nothing Portfolio'

Reported 24 days ago

A newly devised investment strategy known as the ‘Do Nothing Portfolio,’ created by Morningstar's Jeffrey Ptak, has shown to outperform the S&P 500 over a 30-year period by focusing on a hands-off approach to investing. By not replacing delisted stocks and allowing cash to accumulate, this portfolio yielded a 12.2% annual return, outperforming the S&P by 5.6%. The success is largely credited to letting winning stocks run and a focus on cash reserves during market downturns.

Source: YAHOO

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