RT Journal Article SR Electronic T1 History, Shocks, and Drifts: A New Approach to Portfolio Formation JF The Journal of Portfolio Management FD Institutional Investor Journals SP jpm.2021.1.321 DO 10.3905/jpm.2021.1.321 A1 Mark Kritzman A1 David Turkington YR 2021 UL https://pm-research.com/content/early/2021/12/17/jpm.2021.1.321.abstract AB Investors intuitively view future possibilities as a combination of historical outcomes, shocks that occur suddenly, and drifts that unfold gradually over several years. The authors show how to build portfolios based on such a view of the future. Their key innovation is to create a mixed-frequency return sample that properly balances short-term and long-term returns and to form portfolios by considering all the returns of the sample instead of a statistical summary of them.