This edition of Collective Insight seeks to address and debunk many of the myths that investors tend to cling to.
Talk to anyone about investing, even those who are far removed from it, and you will hear all sorts of myths that people believe about investing and money.
How many times have I heard things like “The markets are rigged. Unless you know someone on the inside you’re on a hiding to nothing”, or “Fund managers all hang out together, so their portfolios all look the same”, or “You need a lot of money to invest”? And of course, a long-standing favourite: “XYZ asset management just won the Raging Bull award for the fifth time in a row – they’ve really got to be the best manager going now!”
Making money and then handing it over to other people is an emotional, and scary, act. It is no wonder people develop firmly held beliefs as a framework to cope with, and perhaps avoid altogether, the uncertainty of outcome. And because of this emotional dynamic, there is probably no other industry where, despite the weight of evidence of more than a century of market history available to us to study, people repeatedly behave the same way – even when they know it is irrational and costly to their financial health.
But there are myths and there are heuristics – those “rules of thumb” that we come to adopt and believe because they help simplify the discussions around what is understandably a very complex topic: investing and your finances.
هذه القصة مأخوذة من طبعة 25 October 2018 من Finweek English.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
بالفعل مشترك ? تسجيل الدخول
هذه القصة مأخوذة من طبعة 25 October 2018 من Finweek English.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
بالفعل مشترك? تسجيل الدخول
THE HEALTH OF SA'S MEDICAL SCHEMES
As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.
The effect of Gilbertson's departure
With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.
Making money from music
Why investors are increasingly drawn to the music industry.
Conviction is key
Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.
The post-pandemic toolkit
How CFOs can use technology to support growth.
Big city living exodus
Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.
Big compact, big value
Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.
On barriers to entry
There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.
Fear and greed in one index
To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.
Africa's largest data centre facility coming soon
Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.
