Managing Your Money 

Seven psychological sins you must not commit

Seven psychological sins you must not commit

Why do you buy or sell a share? For most investors, the answer seems obvious: its prospects and their personal circumstances. But the field of behavioural finance suggests that cognitive biases, or errors in thinking that all humans make, tend to play a powerful if hidden role in decisions on investing. Seven of the most common investor cognitive biases are as follows.

To continue reading, subscribe today

and enjoy unlimited access to the following:

  • Tips of the Week
  • Funds coverage
  • Weekly features on big investment themes
  • Trading ideas
  • Comprehensive companies coverage
  • Economic analysis
Subscribe to Investors Chronicle

Subscribe today

Full access for just £3.37 a week:

• Tips and recommendations - to beat the market 
• Portfolio clinic & Mr Bearbull - build a well-planned portfolio 
• Expert tools - track and manage investments effortlessly
• Plus free delivery to your home or office

Subscribe Now