Professor Eugene Spafford “is one of the most senior and recognized leaders in the field of computing.” Here’s what he has to say about password security.
In the practice of security we have accumulated a number of “rules of thumb” that many people accept without careful consideration. Some of these get included in policies, and thus may get propagated to environments they were not meant to address. It is also the case that as technology changes, the underlying (and unstated) assumptions underlying these bits of conventional wisdom also change. The result is a stale policy that may no longer be effective…or possibly even dangerous.
Policies requiring regular password changes (e.g., monthly) are an example of exactly this form of infosec folk wisdom.
Read the article for more details.