FYI: In my more than 20 years as the director of research for Buckingham Strategic Wealth and The BAM Alliance, I’ve learned that, while financial economists understand that even 10 or 20 years of investment performance can be nothing more than “noise,” the vast majority of investors believe three years is a long time, five years is a really long time and 10 years is an eternity.
This is true even for institutional investors—who should know better—as evidenced by the fact that the typical horizon over which investment managers are judged is three years.
Regards,
Ted
http://www.etf.com/sections/index-investor-corner/swedroe-patience-diversification-crucial?nopaging=1
