Grey Wave


DEFINITION of 'Grey Wave'

An investment or company thought to be profitable in the long-term or very long-term. The investor should not plan for an immediate or even short-term positive return, but rather only when s/he is much older and has grey hair.


Grey wave is related to one of the most critical investing concepts - time horizon. Before making investment decisions an investor needs to take into careful consideration when s/he will need to either withdraw the principal or begin drawing down on the dividends and return. The longer the time horizon the more room an investor has for potential mistakes, to adjust to market swings and to benefit from compounding interest.

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  2. Investment Horizon

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  3. Buy And Hold

    A passive investment strategy in which an investor buys stocks ...
  4. Asset Allocation

    An investment strategy that aims to balance risk and reward by ...
  5. Time Horizon

    The length of time over which an investment is made or held before ...
  6. Profit

    A financial benefit that is realized when the amount of revenue ...
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