Glossary

Passive Investing

DEFINITION

Passive investing is an investment strategy based on holding a diversified basket of common stocks at the lowest possible cost with very little trading. The idea is that this approach is likely to deliver market-average returns over the medium to long term.

ELI5

It is like buying a broad basket of investments, keeping costs low, and mostly leaving it alone instead of trading often.

Other related terms

SORA

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Lock-in Period

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Real Estate Investment Trust (REIT)

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Expense Ratio

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