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Holding Period. Share. What is a 'Holding Period'. A holding period is the real or expected period of time during which an investment is attributable to a particular investor. In a long position, the holding period refers to the time between an asset's purchase and its sale.
A long-term hold, as defined by the Internal Revenue Service for tax purposes, is owning a stock position for one year or longer. Theoretically, the longer you hold a stock, the more likely you will ride through periods of volatility and eventually enjoy profits as the underlying company grows.