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When Recency Bias Goes Wrong--The Perils Of Chasing Past Returns
Portfolio gains and losses happen over timeframes of varying lengths. Losses usually happen quickly over short time intervals. Here's an interesting article on recovering from a portfolio loss. This illustration shows how different portfolios recovered after a 33% loss. Many investors move away from equities after losses which causes their portfolio to recover often more slowly.
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russell.com/us/education_planning/investing_basics/articles/recovering_market_downturn.asp