Valuation-Informed Indexing #571: Stock Investors Overstate Their Gains in the Heat of Bull Markets

I’ve posted Entry #571 to my weekly Valuation-Informed Indexing column at the Value Walk site. It’s called Stock Investors Overstate Their Gains in the Heat of Bull Markets.

Juicy Excerpt: Investors who obtain good results brag. It is human nature. Most investors who go with a large stock allocation are worried about doing so at the time they make the choice. So they are relieved when their bet seems to have paid off. And they tell everyone who will listen that they have this stock investing thing figured out. When the losses come, as they inevitably do, they keep it to themselves. Stock gains are reported far more frequently than stock losses.