I’ve posted Entry #27 to my weekly Beyond Buy-and-Hold column at the Out of Your Rut site. It’s called Don’t Beat Yourself Up Over Your Investing Mistakes.
Juicy Excerpt: There is one important respect in which Buy-and-Holders really are dumb. They possess a shockingly weak understanding of the role that investor emotions play in any effort to achieve long-term investing success.
Even here though it is not fair to dismiss those who followed Buy-and-Hold strategies as dunces. The world’s knowledge of the emotional side of the investing project is primitive. Behavioral Finance was not even a recognized field of study until recent decades. Lots of people who are paid millions for their investing expertise know next to nothing about the role of investor emotions.