Hello, my dear reader, today I feel very powerful. So I have decided to promote you to the position of CEO. Congratulations. You are a real CEO now. Not later! Now! What do I mean by that? In this information age,…
You and I we tend to be optimistic about the future. That is not a bad thing in general. However, this optimism might easily develop into “wishful thinking”. Too much “wishful thinking” will be harmful to you and your money. You might be awful…
Mostly, our herd conformity is a good thing and it’s one of the reasons that societies are able to function (legal system, driving, etc). Nevertheless, watch out for what you step into when you follow the herd. Herd behavior occurs when investors follow the…
I am convinced that my brain does a poor job of separating truth from fiction. This leads to many false beliefs. Therefore, I want to make at least a minimal effort to understand my brain better and be on guard…
The time has come again. It’s that time of the year when families gather for reunion dinners, when extended families from far-flung corners of Singapore meet in one central place for the annual “oh-how-have-you-been – when-are-you-getting-married – have-you-gained-some-weight – conversations”.…
In my last post I mused over Forecasts and those guys who come up with them. In my little research I came across so many noteworthy facts and statements on that subject that I decided to collate them in a…
einhundert – 100 – one hundred The other day I have shared with you this gigantic Cognitive Bias Codex. It contains 189 different biases. So far I have written about 100 biases that make you do dumb things with your…
Or otherwise known as reliance on old-fashioned financial institutions and outdated economic structures. Partly, it is due to habit; partly, because of our concerns about liquidity; and partly, because we think that it is always risky to experiment with new things where we might lack…
Before you read on, take a minute and think about this question for a while. Look back at your recent transactions. How did you arrive at those decisions? Are you happy with your past decisions? Any regrets? C’mon. If you’ve…
Recently I spotted this ad in a German newspaper (I took the liberty to translate the few German words): It reminded me of my Water-ETF which I bought about one year ago. So I checked it out: 13.4% up. Ok,…