Investing Psychology: The Effects of Behavioral Finance on Investment Choice and Bias + Website

Praise for Investing Psychology "All investors are biased. The vast majority of investors are hopelessly biased. The rest could benefit from Tim Richards? well–researched book. Therein lies the opportunity for those investors willing to commit to their own ?personal investing mission statement.?" — Tadas Viskanta , Founder and Editor of the Abnormal Returns blog and author of Abnormal Returns: Winning Strategies from the Frontlines of the Investment Blogosophere Remove behavioral bias from your investment decisions For many financial professionals and individual investors, behavioral bias is the largest single factor behind poor investment decisions. The same instincts that our brains employ to keep us alive all too often work against us in the world of finance and investments. Investing Psychology + Website explores several different types of behavioral bias, which pulls back the curtain on any illusions you have about yourself and your investing abilities. This practical investment guide explains that conventional financial wisdom is often nothing more than myth, and provides a detailed roadmap for overcoming behavioral bias. Some of the real–world advice in Investing Psychology includes: Assume you are biased and try and recalibrate Don?t trade when you’re emotional, tired, or hungry Don?t compete with institutions Seek to disprove any idea you might have Always track your results Investing Psychology is a unique book that pointedly avoids the popular approach of offering anecdotal support for plausible investment strategies and financial theories. Instead, author Tim Richards teaches readers how to dig deeper and persistently question everything in the financial world around them, including the incorrect investment decisions that human nature all too often compels us to make.