Our view of the world dictates how we should and should not invest. In this episode you'll learn: Why financial markets are getting more risky and unpredictable. Why the economy and financial markets are not simple machines that can be controlled. How to invest in a ceaselessly creative, radically unpredictable world. Why we could be experiencing a regime when it comes to indexing and ETFs that might mean using non-indexing strategies. Show Notes Uncertainty - … [Read more...]
138: Should You Sell Your Stocks Before Trump Takes Office?
How to make decisions in the face of uncertainty and why deciding to sell stocks should be based on feelings of regret rather than gut feelings about what we think will happen with financial markets and the economy. Photo by Matt Johnson In this episode you'll learn: What are the heuristics or rules of thumbs we use to make predictions. What is the availability heuristic. What is hindsight bias. How we make investment decisions based on regret and risk aversion. Do … [Read more...]