Investing Myth: Timing the Market. Here’s Why Patience Beats Prediction
Many investors fantasize about buying at the absolute bottom and selling at the peak, but the reality is far less glamorous. The S&P 500's 9% average annual return masks the volatility that can wipe out short-term gains. Warren Buffett famously dismisses market timing as a fool's errand, emphasizing patience as the true driver of wealth accumulation.
Historical data proves the point. The so-called lost decade from 2000 to 2013 saw the S&P 500 deliver zero returns after the dot-com bust and financial crisis. Yet those who held through the turbulence were ultimately rewarded. The market doesn't distribute prizes for precision—it compensates endurance.