Aug 23, 2023
The likelihood of making a positive return in stock market increases substantially with your holding period. At least this has been the case for investors in the S&P500 with data going back to 1928. If you invested for 1 month in the S&P 500, the probability of a positive return was 63%. If you invested for 5 years, it increased to 89%. For 10 years, to 94%. For 16 years on any time period chosen, the probability of a positive return was 100%. So, Long term investors have been the clear winners.