08 Sep Representativeness
Curious Investor Behaviour – Number 11
Many of us react to the daily avalanche of data by adopting shortcuts – we tend to generalise from a small sample, creating stereotypes and false patterns.
An example of this may be the assumption that Chinese shares have participated in the current economic boom in the region. You might be surprised to discover the Shanghai Composite Index has been falling for the last
four years and only now looks to be turning upwards. Should you think twice before arriving at conclusions in a hurry?
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About Reuben Zelwer
Reuben Zelwer established Adapt Wealth Management in 2011 to help time poor clients achieve financial freedom. For over 15 years, Reuben has helped professionals, executives, business owner and those approaching retirement make the most of their circumstances by making good financial decisions. Reuben’s professional practice is complemented by substantial voluntary work, which has included setting up financial literacy and savings programs in the local community.