In Tom Friedman’s book The World is Flat he argues:
“It was like they were all ‘pod people’, living in a parallel universe, who were in on a big secret. Yes, they all knew the secret, but nobody wanted to tell the kids…everyone is going to have to improve themselves and be able to compete. It is just going to be one global market. Don’t be fooled by the calm. That’s always the time to change course not when you’re just about to get hit by the typhoon. The way to avoid being caught in such a storm is to identify the confluence of factors and to change course even though right now the sky is blue, the winds are gentle, and the water seems calm…After all look how clam and sunny it is outside.”
Friedman, while he did not plan it, lays out the case against buy and hold (hope). The Nasdaq is still down -60% after 5 years. Had enough yet?