daylatedollarshort
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Feb 19, 2013
- Messages
- 9,358
Looking historically though, there does seem to be some basis for believing in reversion to the mean within 5 years or so IF you are highly diversified. A 100% return in a relatively short period following a 50% drop is not such an unrealistic expectation. As my dad used to tell me, the stock market is like a kid on an escalator with a yoyo.
Stocks are a good bet but it is still a bet, so it comes down to personal risk tolerance with a pretty bumpy ride along the way. For retirees with enough already in safe assets, they may no longer see a reason to keep playing the game. BB seems to have found that out with his clients post 2008.
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