what does fama and french three factor model mean for investors 
the fama and french three factor model highlighted that investors must be able to ride out the extra volatility and periodic underperformance that could occur in the short term investors with a long term time horizon of 15 years or more will be rewarded for losses suffered in the short term given that the model could explain as much as 95 of the return in a diversified stock portfolio investors can tailor their portfolios to receive an average expected return according to the relative risks they assume 