The failure to adhere to stop-losses and implement basic money-management techniques has consequently led to a knee-jerk reaction against the buy-and-hold strategy itself. Losses in a few positions due to “stopless trading” (another term coined by yours truly) can make the investors nervous about holding anything longer-term.

Losses can also affect investing judgment. Many investors react by allowing themselves to be seduced into attempts to recoup losses by employing alien short-term strategies that go against the buy-and-hold mantra.

5. Loss of faith in the markets.

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Elie Wiesel said: “The opposite of love is not hate, it's indifference. The opposite of art is not ugliness, it's indifference. The opposite of faith is not heresy, it's indifference. And the opposite of life is not death, it's indifference.”

This indifference might prove to be the ultimate nail in the buy-and-hold coffin. The trust of the Baby Boom Generation -- which has been at the forefront of the buy-and-hold genre of investing -- has been violated. These investors have now seen 2 of the most gut-wrenching bear markets with more than 50% decline in the broad market averages in the space of 8 years. Stocks have been decimated, value-plays have been annihilated, and previously solid companies have disappeared into the rubble of the credit crisis. Lack of faith kills the ability to trust the long term.

And the financial industry didn’t do itself any favors by continuing to harp on the benefits of the long-term. Its intention was to keep individual investors invested in securities through the unfolding storm, rather than park money safely away from equities until the storm blew over. People turned to their trusted financial advisors in the midst of the storm last year and received the same encouraging “buy for the long term” mantra -- and the advice to do so in supposed safe stocks like General Electric (GE). The pundits gave resounding buys at every local low since the bear market began in 2007. (This, incidentally, was the primary driving force behind my objective and comprehensive analysis on how bear markets end and evolve into new bull markets.)

As they saying goes, faith is like electricity: You can’t see it, but you can see the light. Similarly, lack of faith in the markets transpired in investors distrusting the buy-and-hold strategy and retaliating by taking control of their own financial destiny.

I do believe that all of these reasons (and I look forward to readers sharing more of their own reasons and thoughts on this) have permanently altered the way we think about investing -- at least for many of today’s investing generation. I also believe investors are finally seeking ways to learn more about money matters. The growing popularity of Minyanville -- which seeks to empower the individual investor -- is proof of people’s desire to take matters into their own hands.

The Roman poet Horace said: “Adversity has the effect of eliciting talents which, in prosperous circumstances, would have lain dormant.”

The shattered trust will actually prove to be a precursor to growth. Once investors stop relying on the media and the pundits, once they start asking more questions from their financial advisors, it will effectively transfer responsibility of their assets from others to where it should always have been in the first place -- themselves.

Smita Sadana offers in-depth research on historical bear markets and provides you with 10 indicators she's found that together confirm the beginning of a new bull market.  Learn them today so you know when it's safe to invest again.  Bull Market Timer - 7 day money back guarantee.