Experts gave investors advice on how to build a long-term portfolio.

The buy & hold strategy, or "buy and hold," is an approach in which an investor buys assets, such as stocks, and holds them for many years. Sberinvestments experts told Izvestia on April 23 why the long-term approach works even in an era of market uncertainty, as well as how to build a portfolio over a long horizon.

According to them, such a strategy does not require "feeling the market", but discipline, patience and perseverance are important in it. The principle works both for individual securities and for broad market indexes.

"Compound interest plays an important role in forming long-term savings. It's not magic, but it works almost like a miracle. When an investor not only receives income, but also reinvests it, invests it repeatedly, the effect begins to snowball. The longer the capital works, the stronger its acceleration," the experts explained.

As an example, they cited a situation in which an investor, having invested 1 million rubles at 10% per annum, taking into account reinvestment, will receive almost 2.6 million rubles in 10 years. Without reinvestment, he will have only 2 million rubles.

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"Profit continues to work for the investor. Therefore, in a long-term portfolio, it is time that becomes the main ally. Market situations vary, but if you look at the index charts over the decades, the picture changes. So, even taking into account the crises since the late 1990s, the Moscow Stock Exchange index, excluding dividends, has grown more than 50 times," the analysts noted.

The experts specified that high-quality assets should be at the center of a portfolio designed for the long term. These may be shares of large companies with stable businesses and predictable cash flows. Those who have experienced crises and continue to develop. Many investors choose industry leaders, proven brands with clear growth drivers.

"Do not forget about diversification. A portfolio performs better when it contains growth stocks, dividend stocks, and bonds. This approach reduces dependence on one specific idea and gives the portfolio stability. And also — a little bit of currency and cash: not to "sit in the money", but to be able to buy on drawdowns without selling off other assets," added Savings Investments.

In addition, they stressed that it is important to remember about regularity: when contributions occur automatically and the portfolio is replenished regardless of the news. Discipline is also important — you need to check the balance at least once a year to avoid skewing.

Experts have drawn attention to the fact that the buy & hold strategy is suitable for those who have a long-term goal and who know how to wait, because in order to save and increase capital, it is wiser not to chase the moment, but to stay the course.

"But it's important to remember that long-term investments are inextricably linked to fundamental analysis. For example, if a business is losing competitiveness, the macro environment is changing, or the investor's personal investment goals are changing, perhaps the securities should also be re—evaluated and their strategy slightly adjusted," they added.

Earlier, on April 19, independent financial expert Andrey Barkhota told Izvestia that in 2025, the profitability of bank deposits could exceed 20% per annum. An investment of 1 million rubles will bring the investor more than 200 thousand rubles of net profit per year.