Rational Advisor

We are irrational in predictable ways

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Aug 14 2009

Excess

Published by rational at 3:40 pm under Uncategorized Edit This

“its in human nature to go to excess” - Warren Buffett

its what’s happening now, one of the scariest things is that people are going to excesses to try and recover their losses quickly. it’s scary as they now try to time the markets. Remember the markets like to make the greatest number of people into fools, at the most inopportune times.

People are forgetting the lessons to be learnt from last years crisis, and ponying up for more emerging markets, more scary ETFs, forget the plans and sticking to a disicipline.This can only end badly.

Just because things are going up does not mean that all of the investments that are going up are good. This is where you need to sort out what’s real and what’s not!

Avoid excesses!

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