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Coffee Can Investing
Outlook Money
|March 2025
The concept of Coffee Can Investing is based on a historical American practice wherein people stored their valuables inside coffee cans. These cans were kept safely for many years until the need for those valuables arose.
The term was first coined by Robert G. Kirby in his article The Coffee Can Portfolio in the Journal of Portfolio Management in 1984 based on this historical practice.
He applied the same principle of storage investing, where he advocated to investors who desired to increase their exposure to the stock market to buy high quality stocks and hold them for long periods of time, typically a decade or so, and gain from appreciation over longer time periods.
HOW COFFEE CAN INVESTING WORKS
- Investors can use coffee can investing strategy to pick high-quality stocks from different sectors.
This story is from the March 2025 edition of Outlook Money.
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