When buying a home, you probably know a lot of the potential risks such as the risk your home will go down in value over time or the risk that your home will require a lot of maintenance after purchase. In the same way, knowledgeable investors are aware that investing in the capital markets presents any number of risks – interest-rate risk, company risk, and market risk. Risk is […]
Learning from Biases and How They Affect Our Financial Choices
“Men willingly believe what they wish.” – Julius Caesar The Roman Emperor Julius Caesar was alluding to bias, which happens when individuals process information around them and then stick to their preconceived ideas. Bias can happen in financial matters too, and even the most seasoned investors are subject to them. When dealing with emotions, investors are [...]
