Answer transcript: The right way of defining long term is the time frame that does not unnerve you even if the market goes up or down by 10%. That term can change for different people. If you are still earning, 3 years is good but if you are retired then even 3 years is not long enough. The key question is what is the minimum time period to earn more than inflation? For a Sensex investment, this is 7 years.