Behavioural finance: investing under influence

Behavioural finance: investing under influence

To meet his needs, today’s investor has global and unlimited access to multiple sources of information. The press, specialist sites, social networks, interpersonal relations, strategic advice and recommendations are all available. To the point where we have everything and the possibility of rapidly becoming specialists in numerous financial domains.

“ Well-planned risk begins at home ”

By having direct access to company figures, macro-economic trends and investment offers and solutions, the private investor has numerous means at his disposal to succeed in stock exchange investments. However, whilst he may have a good grasp of all his risks, he cannot control all of them, starting with the principle: himself.

The leading investors do not fall into this trap. In fact, Benjamin Graham has said that the investors’ main enemy is none other than himself. Warren Buffet was fond of saying that “the most important quality for an investor is temperament, not intellect”. This, to control the urges that can lead others to take misguided investment decisions.

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