Many different types of bias can play a role in the decisions an investor makes and most of the time it results in a negative outcome. Let’s highlight six of the biases that we see clients use for their financial decisions and explain how they affect your portfolio.

Get the show notes and additional resources here: https://theuswealthadvisors.com/2020/03/ep-4-how-bias-affects-your-investing-decisions/

Today's show rundown:

1:03 – A recent study looked at the ways financial bias impacted investors decisions.

1:37 – Confirmation bias is one we see a lot.

3:13 – Loss-aversion bias is a really big one because we feel the negative

5:28 – We feel losses much more than the gains.

6:36 – Disposition Effect Bias, what does this mean to investing?

7:35 – J’Neanne shares an example of how this impacted a client.

9:12 – Hindsight bias makes you feel like you an event was predictable.

10:13 – Familiarity bias led a lot of people to be hit hard in 2008.

11:55 – Let’s explain self-attribution bias.