Taking on full responsibility

The recent mrt episodes in Singapore highlighted a couple of bias that can be equally applicable in the investment/trading mentality. I saw some report saying that since the CEO had been in the company, the company had grew its profit from xxx to yyy per annum. This implied that the CEO is responsible for creating the profits. But when the spate of incidents causing the train to breakdown happened, there’s no report saying that the CEO is responsible for it. I mean, why is it so easy to attribute good things to the CEO but not the bad things?

Will that happen to people who invests or trades too? I guess so. When the stocks that you bought went up, it was a good call or a good investment decision. You picked a stock that ran up, so you are good. But when the call turns sour, you start blaming the …

Read the full article →

Leave a Reply

Your email address will not be published. Required fields are marked *