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Learn To Be A Better Investor Through Behavioral Finance
Behavioral finance is the study of how human nature causes us to make irrational economic choices. Every investor can improve their choices by understanding behavioral finance and the inherent biases we all bring to the financial decision making process.
What is The Behavior Gap?
Learn more about behavioral finance by checking out something called the behavior gap, a term used to describe some of the illogical things we do with our money.
Overconfidence - Investor Psychology
Overconfidence causes investors to make poor decisions. This human psychological characteristic is well documented by the field of behavioral finance. Learn what overconfidence is, the affects it has, and most importantly how to become a better investor by understanding overconfidence.
Hindsight Bias - Investor Psychology
Hindsight bias is the tendency to construct one's memory after the fact. The field of behavioral finance says hindsight bias may contribute to investor overconfidence. Learn what hindsight bias is, and how it may affect investment decisions.
Gambler's Fallacy - Investor Psychology
Random events are, well, random, yet people frequently think they can see a pattern to these events. With gambler's fallacy, people expect patterns to be more predictable than they actually are. They then make investment decisions, often bad ones, based on those expected patterns.