The key to holding tight is buying right. Buying right is not picking funds you don’t fully understand; it is not picking funds on the basis of past performance; it is not picking funds because someone tells you they’ re hot or because they have managers who have been stars, or even because they have been awarded five Morning-stars; and it is most assuredly not picking high-cost funds. If you have avoided these fundamental errors, then simply keep an eye on how your fund performs.
Things to avoid when picking a fund.
