Stress and Short-Termism (.pdf)
We always assume rationality of our market participants, but are they? Are you? One argument against this rationality is the way humans are “wired.” As a result of this wiring homo sapiens have developed a fight or flight response that while may serve us well in the event of physical danger, may be counter productive when facing financial risks. That is … [ Read more ]
Content: Article | Authors: Kristen Bartholdson, Michael J. Mauboussin | Source: “FMA” | Subject: Finance | Industry: Investing