Most investors think they’re long-term, but the data says otherwise.

The average holding period today is just 6 months. That makes the majority of investors short-term traders — taxed at ordinary income rates and constantly searching for the next “winning” idea. The challenge? Only about 15% of stocks beat the S&P in any given year.

Day trading? It’s even tougher. Accuracy tops out around 40–60%, and 80% of day traders lose all their funds within two years. It can work for a select few, but the stress and discipline required are immense — and sustained success is rare.
The truth is, investors are often drawn to short-term trading simply because it’s the only strategy they know. Many financial advisers follow the same playbook.
But there’s a better path.

For the average investor, simply owning the S&P 500 — and holding — can improve performance by roughly 5 percentage points per year.

Sometimes the most effective strategy isn’t the most exciting. It’s the most consistent.