In an article for ETF.com, BAM Alliance director of research Larry Swedroe points out that, despite the attractive valuations and growth outlooks for emerging market stocks, most U.S. investors dramatically…
Tag: Recency Bias
When Your Experience Fails You
By Jack Forehand (@practicalquant) — Because it’s easier, we’re inclined to use our recent experience as the baseline for what will happen in the future. In many situations, this bias works…
The Challenge of Recency Bias for Investors
In a recent video on the Index Fund Advisors website (IFA.com), behavior expert and author Carl Richards discussed the challenge faced by investors from recency bias—that is, the tendency to…
Working through the Pain for the Best Long Term Gain
In a Financial Planning article titled “Investing Should Be Painful,” founder of research firm Wealth Logic, LLC Alan Roth writes, “I suggest telling clients to embrace the pain and…
Overcoming Recency Bias Important to Investing Success
Recency bias, which is the tendency to overweight recent experiences, is a pitfall that many investors face. This article in the latest issue of Financial Planning gives some good examples…
Tilson, Heins, and Recency Bias
How did so many investors and analysts fail to recognize the looming economic and stock market crises in recent years? In their latest Forbes column, Whitney Tilson and John Heins…