From the course: Behavioral Finance Foundations

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From the course: Behavioral Finance Foundations

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- [Michael] Let's talk about what we've learned. First, most people are more influenced by behavioral biases than they realize. Be sure to consider the objective facts before making any investment decision. Second, remember the importance of not overtrading. Most people trade too much. If you don't have a fundamental reason to trade, sit tight. Third, get a portfolio allocation you're comfortable with and stick with it, remember the Rule of 110 to this end. Fourth, keep in mind the power of anomalies like short-term momentum, the January effect, and others. Be sure your investment choices make sense in that context. And finally of course keep an eye out for great courses here on LinkedIn Learning on capital markets, algorithmic trading and the stock market. I've enjoyed this opportunity to talk with you about behavioral biases that impact investors as a group. I hope you've walked away understanding a little more about how to…

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