Long-Term Investments

Nothing formally dictates what constitutes long-term investing. It depends on the specific circumstances of each investor, including their age and other demographic factors, their chosen investment style, time horizon, risk tolerance and desired investment outcome. But a reasonable baseline rule of thumb is probably 10 years and above. One of the benefits of long-term investing is it allows investors to smooth out volatility spikes, market declines and cyclical vagaries to achieve a truer view of the return characteristics of their investments.