Anchoring and Adjustment Bias: Why You Can't Let Go of That First Number
Let me ask you something. Is the population of Canada greater or less than 20 million? Now, without looking it up, guess the actual number.
Anchoring bias
Investing Psychology Chapter 2: Overconfidence, Loss Aversion, and Your Ego
Chapter 2 of Tim Richards’ book is called “Self-Image and Self-Worth.” And the title tells you everything. This chapter is about how your ego quietly destroys your investment returns.
Behavioral Biases Part 1 - Heuristics and Judgment Traps
Chapter 2 of “Behavioral Finance for Private Banking” is where the book gets really practical. This is where Hens, De Giorgi, and Bachmann lay out the specific mental traps that mess up our investment decisions. And there are a lot of them.