Friday, April 9, 2010

Investment fallacy

1. Single source/rumor

2. Correlation/causation

3. Backwards looking---linear extending to future

4. "This time is different"

5. Partial evidence (availability overweight)
5.1 Is three a small number? Is 1mil a large number? It depends on what it refers to.

6. Incentive bias
6.1 Am I predicting what I expect or I want? Are they predicting what they expect/bias to/want to happen?

7. Qualitative vs quantitative


Antidose:
1. Who said, as verified independently, what happened when and where for what reason?

2. How does it look historically? Proportionally? Money weighted wise?

3. Which part/terminology eludes me?

No comments:

Post a Comment