What describes a long-term investing plan where you keep your investments through the ups and downs?

• A. Saving
• B. Buy and Hold Strategy
• C. Time Horizon
• D. Long-Term Investing

Answer: (B)

The plan being tested is staying invested for the long run, riding out market ups and downs rather than reacting to every swing. The buy and hold strategy fits this description: you buy investments and hold onto them for years, ignoring short-term volatility with the expectation that time will bring growth and that reinvested dividends and compounding will boost returns. Saving is just setting money aside rather than investing through market cycles. Time horizon refers to how long you plan to invest, not the method of handling volatility. Long-term investing describes the goal of growth over years, but it doesn’t specify the discipline of not selling during dips. So the approach that best describes keeping investments through the ups and downs is a buy and hold strategy.