Gambler’s Fallacy?
Judged by historical data, the stock market is the growth optimal investment vehicle among standard types of U.S. securities. The capital of a buy-and-hold portfolio invested in a value-weighted index of large-company U.S. stocks (with capital gains and dividends reinvested) grew at an annualized inflation-adjusted rate of 7.43 percent between the end of 1925 and the end of 2001.
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