Amateur Investors Are 3.2 Percent Worse Than Chimpanzees At Picking StocksSubmitted by emalvini on Mon, 12/24/2012 - 16:29
Amateur Investors Are 3.2 Percent Worse Than Chimpanzees At Picking Stocks
Dec. 24, 2012, 2:29 PM
A lot has been written on the madness of amateur investors thinking they can pick stocks better than the professionals.
And we've all seen the chart of investor psychology, which shows why people buy at the top and sell at the bottom.
But to really appreciate just how bad amateur investors are at stock-picking, consider the findings of a famous study by UC Berkeley's Terry Odean.