Legendary Investors and their Genius in Asset Allocation during Turbulent Times

2. Warren Buffett and the Buy-and-Hold Strategy

Warren Buffett, a student of Benjamin Graham, took the concept of value investing a step further. Buffett believes in the buy-and-hold strategy, where he invests in companies with a strong competitive advantage and holds onto these investments for a long period. This strategy was particularly effective during the 2008 financial crisis. While many investors were selling off their stocks, Buffett was busy buying. He invested in companies like Goldman Sachs and General Electric, which were fundamentally strong but undervalued due to market panic. This strategy paid off handsomely when the market eventually recovered.