The NY Times blog author Carl Richards hits the nail on the head when he highlights how emotions are once again taking over media and investor behavior as the stock market presses higher and higher. The question being asked is “Should we buy or should we sell?” as many rush into the market at its recent highs. He goes on to say the real question investors should ask themselves is “How can we avoid this common behavioral mistake in the future
In keeping with our philosophy at Rockbridge Investment Management he concludes that we can avoid this mistake by having a written investment plan that includes:
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July 24, 2017
Stock Markets The chart at right shows stocks performing well in the past quarter and six-month periods. Year to date, domestic large-cap stocks were up about 9% while small-cap stocks were up 5%. Stocks traded in international developed markets and...
July 19, 2017
I often say that one of our primary roles as an advisor is to provide context and perspective for clients, allowing us to collaboratively make better decisions. Behavioral economists have identified narrow framing as the tendency for investors to make...
July 14, 2017
I recently returned from a fee-only advisor industry conference. In addition to educational opportunities, it was a rewarding experience to spend time with other like-minded professionals. Rockbridge advisors have been attending these conferences for almost 10 years, so I thought it...
June 26, 2017
Oftentimes, many investors get caught up in short-term results rather than looking at the big picture. This is known to behavioral economists as "narrow framing," or "a tendency to see investments without considering the context of the overall portfolio." Unfortunately, this...
May 24, 2017
Young or old, wealthy or poor, online or in person … Nobody is immune from financial scams and identity theft slams. No matter who you are or how well-informed you may be, the bad guys are out there, daily devising...