Beware "The Seven Deadly Sins of Investing" and best to avoid them.
Only looking for information and news which is in favour of your ideas
Believing that you are above average and that misfortunes are more likely to befall others
Illusion of Control:
Overestimation of the control you have over economic affairs thinking that you can always influence the outcome
Overconfidence in Prediction:
Believing that your prognostication of the future is the best one
Risk and Regret Aversion:
Either being too cautious to invest or to risky to get out (risky shift; Shift to Caution)
Responding to conformist pressure to think like others
Selective forgetting and memory for past experience in the financial world
Investing in stocks is a lot like lending your friend money - Note: This article is a collaboration between The Good Investors and The Woke Salaryman. It was written by me and edited by He Ruiming. An earlier version ...
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