I invested $44,449 in an S&P 500 index fund over a period of 15 months. Its current market value is $43,596.

As someone who has adopted the buy and hold strategy, how long should I wait before adjusting/rebalancing/selling part of this fund?

I don't need funds at this time. I'm trying to know how much time should be given to an S&P 500 index fund for it give considerable returns?

  • 3
    You mention rebalancing as one of your options, what other assets do you have, and what are the allocation percentages? Jan 29 '19 at 21:31
  • 3
    Also, when do you think you'll need the money you are investing? Are you saving for retirement? How far in the future is that? Jan 29 '19 at 21:32
  • The market always goes up over the long term so it's best to keep your money in as long as practical. It may be wise to get less aggressive the closer you expect to need to liquidate, but that depends on your personal investment mission statement.
    – topshot
    Jan 30 '19 at 16:02
  • "how much time should be given to an S&P 500 index fund for it give considerable returns?" "Considerable returns" are not guaranteed.
    – Flux
    Oct 15 '20 at 5:59

I don't need funds at this time.

Then there's nothing to do.

If the strategy is "buy and hold" then you keep holding. When you need capital you assess your allocations and potentially sell some of this position. If you think you have allocation issues now, then the decision to reallocate anything would have to include an assessment of all your assets (and age really) not just this position.


Buying the S&P 500 Index is a wise decision. It is a benchmark and you are basically buying the whole market. Not sure what you mean by 'considerable returns', but the average return for 3, 5, 10, 15 years is 9%, 8%, 13% and 7.6% respectively. This data is from Morningstar. To expect much more than about an 8% return over the long haul is probably not realistic. Hope this is helpful.



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