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choco1433 choco1433
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2 years ago
The theory behind the variable ratio plan is to

▸ passively buy and hold a wide variety of securities.

▸ time the cyclical movements of the stock market and thereby "buy low and sell high."

▸ avoid selling any security for a capital gain, and thus indefinitely avoiding the capital gains tax.

▸ keep the unit cost of the portfolio at a constant level.
Textbook 
Fundamentals of Investing

Fundamentals of Investing


Edition: 14th
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rpascuarpascua
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2 years ago
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choco1433 Author
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2 years ago
Thanks
IvanaVR
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Thanks for your help!!
kaytee23
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This helped my grade so much Perfect
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