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Why are investors so cocky? Biased memory might play a role

Why are investors so cocky? Biased memory might play a role

 

  The Conversation

is an independent, nonprofit publisher of commentary and analysis, authored by academics and edited by journalists for the general public. On a mission “to promote truthful information and strengthen journalism by unlocking the rich diversity of academic research for audiences across America,â€‌ they publish short articles by academics on timely topics related to their research. أغجاض±²¥ Boulder provides funding as a member of The Conversation U.S.

Stock investors may selectively forget their money-losing stocks, according to new research. Overconfidence is often a contributing factor to market crashes, like the financial crisis of 2008. Philip Fernbach, associate professor of marketing in the Leeds School of Business, and INSEAD colleague Daniel Walters share on The Conversation.