Coattail Investing

An investment strategy where investors mimic the trades of well-known and historically successful investors. 


This copycat investing can be very good - why not follow the best?  This investing strategy works the best when the money manager or institution being mimicked buys companies with a buy and hold mentality.  If the manager is buying the company for a short period of time, the delay between the purchase and the release of the information to the public may render the particular purchase a bad one.  However many money managers buy companies with a buy and hold mindset, including the most successful one of all, Warren Buffett.



CoattailInvestor.com - Find out exactly what the world's best investors including Warren Buffet have in their portfolio.
Related Terms

Buy and Hold

Investing

Tailgating

Warren Buffet

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