A detailed guide to overcoming the most frequently encounteredpsychological pitfalls of investing Bias, emotion, and overconfidence are just three of the manybehavioral traits that can lead investors to lose money or achievelower returns. Behavioral finance, which recognizes that there is apsychological element to all investor decision-making, can help youovercome this obstacle.
In The Little Book of Behavioral Investing, expert JamesMontier takes you through some of the most important behavioralchallenges faced by investors. Montier reveals the most commonpsychological barriers, clearly showing how emotion, overconfidence, and a multitude of other behavioral traits, canaffect investment decision-making.
Offers time-tested ways to identify and avoid the pitfalls ofinvestor bias
Author James Montier is one of the world's foremost behavioralanalysts
Discusses how to learn from our investment mistakes instead ofrepeating them
Explores the behavioral principles that will allow you tomaintain a successful investment portfolio
Written in a straightforward and accessible style, The LittleBook of Behavioral Investing will enable you to identify andeliminate behavioral traits that can hinder your investmentendeavors and show you how to go about achieving superior returnsin the process.
Praise for The Little Book Of BehavioralInvesting
"The Little Book of Behavioral Investing is an importantbook for anyone who is interested in understanding the ways thathuman nature and financial markets interact."
--Dan Ariely, James B. Duke Professor of BehavioralEconomics, Duke University, and author of PredictablyIrrational
"In investing, success means�being on the right side ofmost trades. No book provides a better starting point toward thatgoal than this one."
--Bruce Greenwald, Robert Heilbrunn Professor of Financeand Asset Management, Columbia Business School
"'Know thyself.' Overcoming human instinct is key to becoming abetter investor.� You would be irrational if you did not readthis book."
--Edward Bonham-Carter, Chief Executive and ChiefInvestment Officer, Jupiter Asset Management
"There is not an investor anywhere who wouldn't profit fromreading this book."
--Jeff Hochman, Director of Technical Strategy, FidelityInvestment Services Limited
"James Montier gives us a very accessible version of why we asinvestors are so predictably irrational, and a guide to help uschannel our 'Inner Spock' to make better investment decisions.Bravo!"
--John Mauldin, President, Millennium WaveInvestments