In a September interview on the Off the Chain podcast, legendary investor James O’Shaughnessy shared insights on human nature, psychology, and how they manifest in investing decisions. Here are some…
Tag: Investor Psychology
Our Beliefs Don't Predict Economy
An article in The New York Times by Nobel Laureate Robert Shiller argues, “The more we learn about how people really think, the more we must rethink economic theory.” Shiller…
Market Resilience from Investing "House Money"
The market’s resilience over the past year might be due to an investor perception that they are “playing with house money,” according to a Barron’s article. The article explains that this…
How an Investment Strategy Can Be at the Top and Bottom at the Same Time
By Justin J. Carbonneau (@jjcarbonneau) — Imagine you’re presented with two investment models. Both hold a concentrated basket of 10 stocks, both are rebalanced monthly and both are built on…
Are We Partying Like its 1999?
By Jack M. Forehand (@practicalquant) — One of the most common comparisons I hear for the current state of the stock market is the bubble of the late 90s. With…
In a High Market, Investors Should Prepare for a Downturn
A recent article by Jeff Sommer of The New York Times poses the question: “Is this the top of the market? Is it time to sell?” “Simply put,” writes Sommer,…
Morgan Housel: Discomfort the Key to Investing Success
A key component of becoming a successful investor, writes Morgan Housel of the Collaborative Fund, is the “ability to be comfortable being uncomfortable.” Investors, he says, “have a fascination with no-brainers,…
Zweig Talks Color and Investor Behavior
New research shows that color can have a significant influence on investor behavior, writes Jason Zweig in a recent Wall Street Journal article. According to Zweig, researchers have found that…
Morgan Housel Explains the Lure of Pessimism
“Every past market crash looks like an opportunity, but every future market crash looks like a risk,” writes Morgan Housel in a recent blog for Collaborative Fund. Housel offers insights…
Study Shows Retirees Become More Pessimistic About the Market as They Age
A new study shows that as people age, they become more pessimistic about the stock market and the economy as a whole, and actually spend less “just as many can…