Tag Archives: loss aversion

What is behind wrong decisions

The human brain is capable of 1016processes per second, which makes it far more powerful than any computer currently in existence. But that doesn’t mean our brains don’t have major limitations. The cheap calculator can do math thousands of times better than we can, and our memories are often less than useless  – plus, we’re subject to cognitive biases, those annoying glitches …

Read More »

Stocks & Strategy II

Pay Attention to the Average When chatting with friends about my job, they often compare the stock market with a casino. Well, I could argue with many facts contradicting this view, but I generally do not try to persuade people to invest. I only advise them if they want to play the markets. And there is one point, where the …

Read More »