Pragmatic Capitalism

Practical Views on Money & Finance


According to AAII, investor sentiment is at its worst level since the association began tracking sentiment readings in 1987.   70% of investors are now bearish compared to the 1990 record of 67%.    If you have a 10 year time horizon the odds are beginning to look very favorable for equity investors.  Unlike the legions of investors who have proclaimed buy and hold dead, I actually believe it is more viable than ever right now (though that doesn’t make it my strategy of choice – all investors have different time horizons, risk parameters and goals).

Looking back at every point when the market returned less than 2.5% for 10 years, it then returned an average 13.3% for the next 10 years, with a range of 7.1% to 18.6%.

Got a comment or question? Feel free to contact Cullen via email here or on Twitter here.
Cullen Roche

Cullen Roche

Mr. Roche is the Founder of Orcam Financial Group, LLC. Orcam is a financial services firm offering asset management, private advisory, institutional consulting and educational services. He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance and Understanding the Modern Monetary System.

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