This is the ninth article in the Behavioral Finance and Macroeconomics series, exploring the effect behavior has on markets and the economy as a whole and how advisors who understand this relationship ...

From an underdog priced at a heavy discount, Oracle is now emerging as a leader in the cloud with a stock that is priced accordingly. I show why many investors were falling victims to recency bias and ...

Recency bias is the tendency for people to overweight new information or events, projecting them into the future while ignoring long-term evidence. This bias causes many investors to engage in ...

Last week, I introduced the idea of “dumb” in investing: the tendency for very smart people to do very dumb things with their portfolios. We looked at how emotions can override a well-thought-out plan ...