A term first observed in statistics and now applied in finance, this shows that returns for long term investments are more stable than those in the short term. Extreme outcomes are followed by moderate ones as chance comes into play.
Diagrams
Originated from/Coined by
Sir Francis Galton
Further Reading/ References
https://en.wikipedia.org/wiki/Regression_toward_the_mean
https://fs.blog/2015/07/regression-to-the-mean/