Buy and Hold Strategy for AAPL (Apple Inc.)

The strategy spanned a total of 16226 days, covering the full period from 1980-12-12 to 2025-05-16. This range represents all available trading data we could find — likely from the stock's initial listing date up to the most recent trading day.

Performance Overview

Starting with an initial capital of $10000, we purchased shares of AAPL on 1980-12-12, at a price of $0.1 per share (adjusted for splits and dividends). No trading, no tinkering — just a simple buy-and-hold approach.

We held the position continuously through every market twist and turn, never selling. As of 2025-05-16, the price of AAPL had risen to $211.26. While we didn't sell, we can still assess the performance by calculating the current value of the investment: $21426704.44.

This translates into an annualized return of 18.84% over the entire period. The return is strong and meaningfully higher than long-term market averages. It suggests effective asset selection or strategy execution during a favorable environment.

Drawdown and Risk

The maximum drawdown recorded during this period was 81.8%. This drawdown began after a peak price of $1.08 on 2000-03-22, and reached its lowest point on 2003-04-17 when the price fell to $0.2. The drawdown lasted for 1121 days.

The drawdown was very large, indicating high sensitivity to adverse market conditions. Strategies with this profile may offer strong upside but require enduring deep declines. The maximum drawdown lasted over three years — a very long decline that would have tested even the most patient investors. Such extended recoveries are rare but not impossible during major structural bear markets.

The return-to-risk ratio, known as the Calmar Ratio, is 0.23. This metric is calculated by dividing the annualized return by the maximum drawdown, both expressed as percentages. It helps assess how efficiently the strategy converted risk into reward.

This level is typical for broad market investments like index ETFs, which often face major drawdowns despite solid returns.