When it comes to investing, we often rely on the past. With this hindsight, past events become almost obvious, and we think "how could we have missed that opportunity?" or "why didn't I see to get out before things went south?". Our brain is then tricked into thinking the future is more predictable than it is, which is why performance disclaimers state "past performance is not indicative of future results." Find out the best solution to not having regrets from hindsight.
Frequency of Volatility:
Is the market more volatile today than in the past or do we just perceive it that way? Learn more about market volatility and why our perception of it has changed over time.
The Importance of Diversification:
We've all heard the phrase "Don't put all of your eggs in one basket." That is the basic principal of diversification, speading your money across multiple asset classes. But are you as diversificed as you think? Learn more about this important concept here.
Headlines & How They Influence Our Investment Decisions:
The media's goal is to grab our attention with shocking headlines. They often sensationalize the news, creating headlines that will elicit strong emotions. Learn more here about how to look beyond the headlines and maintain a long-term perspective.
The Default Response:
This is the response that comes naturally to you. What is your first response to investing and market changes? Do you tune into the news & media? Look to experts for guidance? Learn more about how your default response to investing can impact your portfolio performance and return.
All indices are unmanaged and investors cannot actually invest directly into an index. Unlike investments, indices do not incur management fees, charges, or expenses. Past performance does not guarantee future results.
Drivers of Emotions:
Market cycles can create strong emotional reactions, impacting our decisions & reasoning. Learn here about how our brains work during these times and how to avoid making snap investment decisions that can undermine your long-term plan.
The Perception of Loss:
There are two types of loss: temporary & permanent. Temporary loss is common in markets; it is natural & expected. It even creates opportunities to "buy low." Permanent loss is the one to be wary of. Learn how you can control if you will experience a temporary or permanent loss here.