Tim Richards | TalkMarkets | Page 1
Author, Owner of The Psy-Fi Blog
Tim Richards is a blogger, researcher and advocate of behavioral finance.  He owns the Psy-Fi Blog, a sideways look at psychology and finance. Mr Richards is also the author of The Zeitgeist Investor. In 'The Zeitgeist Investor: Unlocking The Mind ...more

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Quality Plays
Investors are attracted to technology stocks like moths to a furnace. The lure of exciting new opportunities is hard to resist.
Facing Down The Narrative Fallacy
Markets are tumbling. It's because the Fed is about to push up interest rates. Or maybe because the German economy is weak. Or perhaps it's Ebola...
Be Humble, Become Wealthy
Underlying all of this madness are our hard-wired biases. There's plenty of food for thought in the Big List of Behavioral Biases and the A to Z of Behavioral Bias, without me repeating myself.
Metaphors We Invest By
Metaphor is a powerful engine for driving thought. Or possibly it's a useful compass for guiding it. Or perhaps it's some other metaphor.
Bad Investing Behavior: From A To Z ... And Back Again
A common reaction to pointing out to investors (or indeed, anyone) that they're as biased as a Fox reporter at a convention of transgender liberal pacifists is for them to respond, not unreasonably, by asking what they should do about it (that's the investors, not the reporters).
The Pschology Of Investing: Z Is For Zero Risk Bias
The Psychology of Investing Series continues with Z is for Zero-risk. Zero-risk bias is a preference for options that completely eliminate some risk even where alternative, often cheaper, options will reduce the overall risk by more, proportionately.
The Pschology Of Investing: Y Is For Yawn Effect
The Yawn Effect occurs when you yawn in response to someone else yawning. In fact you can even get your dog to do it (or get coerced into yawning by your pooch).
The Pschology Of Investing: X Is For Xenophobia
The Psychology of Investing Series: Xenophobia isn't really a behavioral bias, but Home Bias is its equivalent - the tendency of investors to favor their home markets over foreign ones and to damage their returns, or at least increase their risks, in the process.
Mistrust The Financial Storytellers
Homo sapiens is the storytelling ape. We make sense of the things that happen in the world, of the things that happen to us, and even of ourselves, through stories and narratives.
The Pschology Of Investing: W Is For Winner's Curse
The Winner's Curse occurs when in order to win a competitive pricing situation such as an auction we overpay. By overpaying we destroy the investment case for buying in the first place and the losers turn out to be the winners.
The Pschology Of Investing: V Is For Von Restorff Effect
The Von Restorff Effect states that something that stands out is more likely to be remembered. So a highlighted item on a list is more likely to be recalled than the remainder of the list items.
The Pschology Of Investing: U Is For Uncertainty
The Pschology of Investing Series continues with U is for Uncertainty. Uncertainty is the reality of the unknown unknowns. We don't know what we don't know: we can't even measure it. And we don't like it, not at all.
The Pschology Of Investing: T Is For Texas Sharpshooter Effect
The Texas Sharpshooter Effect is a doozy, although it's less of a bias and more a sleight of hand trick. Impressed by that fantastic mutual fund history? Amazed by that stock tipping sheet performance?
The Nudge Unit Goes EAST; Investor Funds Go West
As we saw in SCOTUS Breaches the Efficient Frontier, behavioral finance is (finally) beginning to be applied to the real world.
The Pschology Of Investing: S Is For Self-Enhancing Transmission Bias
The psychology of investing: Self-Enhancing Transmission Bias is what everyone does when they talk about themselves: they big themselves up and conveniently forget about their mistakes.
The Pschology Of Investing: R If For Representative Heuristic
The Representative Heuristic is our trick of comparing whatever happens to be under consideration to whatever we can bring to mind. It's an effect of availability, but we can be primed into triggering the heuristic by clever manipulators or not-so-clever psychologists.
1 to 16 of 51 Posts