The phrase suggests an investment strategy, specifically the practice of purchasing assets after they have experienced a temporary price decline. This strategy assumes that the price will eventually rebound, allowing the investor to profit. For example, if a stock’s price drops, someone employing this strategy would purchase shares, anticipating a future price increase.
The perceived benefit lies in acquiring assets at a lower cost, potentially maximizing returns when the price recovers. Historically, this tactic has been employed by investors seeking to capitalize on market volatility, though its success depends heavily on the accuracy of predicting a subsequent price recovery and the inherent risk tolerance of the individual.
