Tuesday, June 17, 2014

7 - 5 - 3 - you're the 1 making the decisions!

From MarketWatch.com:

7 reasons why you made less than the market

  1. Investors are unskilled
  2. The more you look at your portfolio, the more you’ll trade
  3. Having no plan
  4. Performance chasing
  5. Overconfidence
  6. Portfolio dissecting
  7. Short-termism


From USA Today:

5 brain flaws that make you a lousy investor

  1. Trading bias.
  2. Recency effect.
  3. Sunk cost fallacy.
  4. Overconfidence effect.
  5. Prospect theory or “framing”.


From Money magazine:

3 Bad Reasons We Pay So Much For Mutual Funds

  1. Using an active fund as a de facto financial adviser.
  2. Going active to get a tilt.
  3. That enterprising feeling.
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