Exchange guru André Kostolany would probably no longer rely on buying and waiting these days.
Buying stocks, taking sleeping pills, getting rich: André Kostolany advised. Those who follow him may wake up with a strange depot. A guest post.
FEvery investor knows the advice of stock market guru André Kostolany, who died in 1999: “Buy stocks, take sleeping pills, and stop looking at the papers. After many years, you will see that you are rich. ”A clear plea for a passive buy-and-hold strategy when it comes to equity investments. Throw promising stocks into the custody account and sleeping pills so as not to be disturbed by stock market turmoil: In the long term, the saying suggests, nothing can go wrong. Is that really the case?
Two questions immediately come to mind: which stocks? And how many years should the sleeping pills be taken? Let’s imagine a Kostolany disciple who would have followed the recommendation 20 years ago. What shares would he have put in his portfolio? As today, IT, communication and biotech were already among the future industries. Companies from these areas were gathered in the Neuer Markt, a segment that Deutsche Börse launched in 1997 as a counterpart to the American technology exchange Nasdaq. Back then, quite a few of these companies would probably have found their way into the future-oriented portfolio of an ambitious late riser.