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Stock market: these psychological biases that make us lose money

2022-01-28T05:16:37.470Z


OUR ADVICE - The markets are once again experiencing turbulence. As such, behavioral finance, which studies the psychological mechanisms of investors, can save us many missteps.


The jolts experienced by the markets are cause for questioning savers.

Inflation and rising interest rates are worrying.

In France, despite the slump at the beginning of the week, the CAC 40 continues to evolve at high levels.

The future is more hazy.

For a saver, trading in such a context is not easy. The trees do not rise to the sky and other corrections are possible.

But how do you make the right choices in your stock portfolio?

By being logical, but also keeping in mind the pitfalls to avoid.

In this regard, behavioral finance, which studies decision-making mechanisms, can be of great help.

It lists the psychological biases that cause us to lose money.

Here are five.

To discover

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Stock market: when our emotions make us lose money

1. Anchoring

The values ​​reached by the flagships of the CAC 40 are enough to deter new entrants.

Question of anchoring and reference, according to Maxime Viémont, specialist in behavioral finance at Portzamparc.

“If I look at the performance…

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Source: lefigaro

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