A "Time Horizon" refers to the length of time an investor expects to hold an investment before needing to access the funds. It can vary from short-term (a few months) to long-term (several years or decades). Understanding your time horizon is crucial for making informed investment decisions, as it influences the types of assets you might choose. For example, individuals saving for retirement may have a long time horizon, allowing them to invest in higher-risk assets like stocks. In contrast, someone saving for a vacation in a year would have a short time horizon and might prefer safer investments, such as bonds or a savings account.