5 Great Investments I’ll “Never” Sell

“Never” is a long-term commitment. So is “forever.”

Stocks and other investments are more powerful The more time you give themBut legendary long-term investor Warren Buffett also sometimes makes short-term bets. So do I, and you probably do too.

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However, some tickers in my portfolio have a permanent home there. I have no intention of selling these stocks and funds until I retire and outlive my nest egg. Maybe I’ll nibble on them from time to time, taking advantage or Rebalancing my portfolio Nothing is 100% certain when the timing is right, and when planning decades ahead.

But I’m pretty sure these names will stay in my portfolio forever, for all practical purposes.

Every portfolio needs a solid base of market-tracking funds. Among the many popular options, Vanguard S&P 500 ETF (NYSEMKT: VOO ) She plays a role in my portfolio.

This represents the exchange-traded fund (ETF) classic S&P 500 (SNPINDEX: ^GSPC) Market index. It’s a large portfolio covering every imaginable sector and industry, focused on high-quality US stocks. Vanguard funds come with strong liquidity, vanishingly small annual fees, and the legacy of index fund genius Jack Bogle.

I have a few other ETFs in my portfolio, but this will be the only one until the end. If you look up “stable, predictable, and reliable” in your investor dictionary, this fund will be the top result.

Moving on to individual stocks, only a few names deserve a spot on this list.

The first of these is the Google parent company the alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL ). What began as a student project in a Stanford garage has grown into one of the largest and most valuable companies in the world. Along the way, the Internet-heavy Google business morphed into the Alphabet umbrella company, preparing the organization and its investors for dramatic market changes in the future.

Online search and advertising is still Alphabet’s core business, but the company is already exploring options such as medical research, a self-driving taxi service, and a suite of cloud-based artificial intelligence (AI) tools. Web and mobile app ads won’t pay the bills forever, but the company is ready to switch to something else as the market moves forward.

If this ultra-flexible management approach can’t help Alphabet remain relevant and profitable for at least another 30 years, I’ll buy a hat to eat it. This is the safest single-ticker investment I can think of.

The next partner is the tech giant Amazon.com (NASDAQ: AMZN ). Resting on a broad foundation of e-commerce operations, Amazon is always ready to move in new directions. The company is already a leading name in cloud computing and AI services, not to mention its world-class shipping network and award-winning media studio.

From smart home devices and audio books to high-end grocery stores and online pharmacy services, Amazon’s portfolio of products and services is almost as impressive as Alphabet’s. The management team is famous for running Amazon as if it were “day one” for a brand new start-up, even though it’s a trillion-dollar company with decades of operating history.

Again, flexibility is the secret to a long and prosperous business history. Amazon has it in spades, and I trust the stock to deliver solid gains for the foreseeable future.

This may come as a surprise, given that the first few elections have focused heavily on stability. But I will argue that SoundHound AI (NASDAQ:SOUN) Alphabet or Amazon could become next in due course.

This is an overpriced small-cap stock today, and I recommend letting the stock cool off a bit before buying your first SoundHound AI share. It traded at 76 times sales on Dec. 6, lifted by a weeks-long meme stock campaign. But be sure to keep an eye on the SoundHound AI when the price goes up, as it most certainly will in the near future.

I’m talking about an exceptional AI innovator that’s building a huge list of household-name clients, from auto manufacturers and restaurants to consumer electronics designers and phone menu systems. SoundHound is not just the name in the AI game, but the company’s services are based on AI detection and data collection. Many tech giants have shown how difficult this task is by reserving their research to buy experts like Shazam or Dragon Natural Speaking.

I think someone wants to acquire Soundhound AI as well, but I never trust that kind of speculation. Voice-controlled devices are already popping up everywhere. The market is worth about $140 billion today and should blossom into a trillion-dollar revenue opportunity over the next decade or so. I want to own the leading name in this revolution.

Again, I don’t recommend buying the overheated Soundhound AI stock today. Allow it to cool before forming a solid. If you start with a more reasonable price and valuation, SoundHound AI’s stock should serve you well in the long run.

I strongly believe that cryptocurrencies will one day disrupt financial systems and traditional payment methods. Almost no one uses crypto instead of dollars in their daily life, but that day will come. When that happens, I don’t want to kick myself for failing to achieve something Bitcoin (CRYPTO: BTC) While it was new and cheap.

This may sound like a joke, as Bitcoin has passed the $100,000 price point for the first time. It’s not “cheap” unless you have caviar and a new car for breakfast every Thursday.

But you could say the same thing when Bitcoin retreated from $64,000 per coin in 2021 or when it was below $20,000 in 2017. The difference this time is that the financial world is taking crypto seriously and digital assets are readily available. of spot bitcoin ETFs.

I don’t know what a bitcoin might be worth in 2025 or 2030. And this is not a risk-free idea, as new innovation can disrupt the crypto market and the Bitcoin platform at any time. Still, the era of all-digital finance is coming and Bitcoin is the closest thing to a stable long-term bet on that unstoppable trend. Therefore, I hope to own Bitcoin and/or Bitcoin-based funds “forever.”

You might have expected an elaborate forever stock case for some of my biggest winners. I have made more money on media-streaming pioneer Netflix (NASDAQ: NFLX ) and robotic surgery innovator Experienced surgical (NASDAQ: ISRG ) More than anything else, and you’ve seen me sing their praises over the years. Perhaps you want a long-term investment thesis for more recent ideas or change stories with strong prospects in the distant future. Media platform specialist stop (NASDAQ: ROKU ) Along with restaurant management software developers, this springs to mind toast (NYSE: TOST ).

All of these names deserve your consideration, and some could be great buys today. I’m not entirely sure I’ll own them forever.

Forward-looking growth ideas come with considerable risks and stiff competition, while proven winners can saturate their target markets and run out of game-changing ideas in a decade or two. A 10-year position is not close enough to qualify for this list of perennial investments.

That’s why I’m talking about these hand-picked survivors today. They may not be flashy-rich-quick ideas, but they can create wealth for decades to come.

Amazon and Alphabet are too flexible and deep-pocketed to be on this list. The Vanguard Fund — or any other broad market tracker — can easily be a holding in an effective retirement portfolio. I think Bitcoin is important and game-changing enough to have a seat at every table. And SoundHound AI might seem out of place here but AI-powered voice control should be a trillion-dollar market someday.

Have you ever felt like you missed the boat on buying the most successful stocks? Then you’ll want to hear this.

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Right now, we’re issuing “double down” alerts for three great companies, and there may not be another opportunity like this anytime soon.

See 3 “Double Down” Stocks »

*Stock Advisor returns to December 9, 2024

John Mackey, former CEO of Whole Foods Market, is a member of the board of directors of The Motley Fool, an Amazon subsidiary. Suzanne Frey, an Alphabet executive, is a member of The Motley Fool’s board of directors. Anders Bylund Alphabet, Amazon, Bitcoin, Intuitive Surgical, Netflix, Roku, SoundHound AI, Toast, and Vanguard have positions in the S&P 500 ETF. The Motley Fool owns positions in and recommends Alphabet, Amazon, Bitcoin, Intuitive Surgical, Netflix, Roku, Toast, and the Vanguard S&P 500 ETF. Motley Fool has a Disclosure Policy.

5 Great Investments I’ll “Never” Sell Originally published by The Motley Fool