A quantitative analyst on the fixed-income desk of an investment bank is applying the Vasicek model to estimate future short-term interest rates. The model is given below:

$dr = k * (\Theta - r) * dt + \sigma * dw$

where $dr$ is the change in the short-term interest rate, $\Theta$ is the estimated long-run value of the short-term interest rate, $k$ is the mean reversion rate, $r$ is the current level of the short-term interest rate, $\sigma$ is the annual basis-point volatility of the short-term interest rate, $dt$ is the time interval measured in years, and $dw$ is a normally distributed random variable with mean zero and standard deviation equal to the square root of $dt$.

The analyst gathers the following information:

• Current short-term interest rate ($r$): 3.35%
• Long-run value of short-term interest rate ($\Theta$): 4.55%
• Mean reversion rate ($k$): 0.06
• Annual basis-point volatility ($\sigma$): 120 bps

The analyst then creates an interest rate tree, determines the expected short-term interest rate after 8 years, and calculates how long it will take the short-term interest rate to revert halfway to the long-run value. Which of the following statements would be correct for the analyst to make?*