The last few days, I’ve been on a kick, writing about rules and quick tips for investors. I am compiling an entire list here on my blog and today I want to cover the 10-10-10 rule, which as I believe and understand it, is a little tip from someone you may have heard of: Warren Buffett.

At its core, the 10-10-10 rule is a quick and simple mental trick to slow down, think thoroughly, and make decisions with expectations across multiple timeframes. So, first, think like this:

Ask: How will this decision look in 10 days, 10 months, and 10 years?

In the world of investing, and trading, it’s rather easy to want to buy or sell quickly. Make a decision. Be impulsive. Or, perhaps even worse, fall into a bad head space about the reality of markets. The 10-10-10 rule is designed to snap you out of out.

How will this decision look in 10 days?

How will this decision look in 10 months?

How will this decision look in 10 years?

Answer these three questions, then decide if you really, and I mean really, want to proceed accordingly.

From my view, the 10 days are smart and wise way to think about how fast you’re moving in markets. For me, I often have to remind myself that no single investment ever moves THAT fast in just 10 days. There’s no rush.

10 months, let’s discuss. This is an important milestone because you are now nearing the first full year of the decision. You also have a life with many things you can see into those 10 months. How will this decision look with those events coming up?

And lastly, 10 years. No one has visibility into that. And so this final long-term decision is the bread and butter of it all. Can you see this decision lasting the test of time? This is the essential final answer.

That’s it.

The 10-10-10 rule.

By the way, if you want to follow all of my guides and rules, I made a helpful page that is free and open to all investors and traders right here.