Holding Period
Definition:
A holding period is the length of time an investor holds an asset, such as a stock or a bond. It is typically measured from the date the asset is purchased to the date it is sold.
Example:
The holding period can have a significant impact on the investor's return on investment (ROI). For example, if an investor buys a stock and sells it after a short period of time, they may only realize a small profit or even a loss. However, if an investor holds an asset for a longer period of time, they may be able to realize a larger profit.