In the News
The Dangers of Confident Investing
What causes amateurs to mistake themselves for Warren Buffett when they’re probably closer to Jimmy? One famous investigation of this phenomenon, by Brad Barber of the University of California, Davis, and Terrance Odean of the University of California, Berkeley, looked at the behavior of investors in the 1990s, just as many were jumping into online trading. “Barber and Odean cite several factors behind this change: Most notably, the investors attributed their successes to their own skill and believed they had more control over their stocks performance than they really did.
