We are all Actors in the Play of Economics
The way we think and speak about investments shapes the industry we operate in, Tony Day says. The realisation that we are all actors in the play of economics should make us more aware of the importance of culture in setting an investment strategy.
What Trait Psychology Tells Us about Factor Investing – Part II
Do factors have explanatory power in investment returns or are they merely descriptive? This is an important difference because the first characteristic would give them predictive powers, while the second would merely reflect past performance. In this second part on trait psychology, MarketFox columnist Daniel Grioli looks for clues in criticism of this branch of psychology.