💡
Confirmation bias
Psychologieab 13 J.
We prefer to look for information that confirms what we already believe. Dangerous when investing: “My stock is great” → negative news gets ignored.
Confirmation bias (Bestätigungsfehler) is the tendency to notice information that supports our existing beliefs – and to ignore contradictory information.
When investing: you buy a share and then only read positive news about the company. You ignore negative reports or dismiss them as "exaggerated". Result: you hold on to losing investments for too long.
Remedy: actively look for counter-arguments. Ask yourself: "What speaks AGAINST my decision?" With ETFs, confirmation bias is less dangerous because you're not investing in individual shares.
Did you know? Google “Bitcoin is rising” and you'll find 100 reasons why – and ignore the 100 counter-arguments. Confirmation bias is one of the most expensive investor mistakes.
Something missing or could the translation be better?
📚 Confirmation bias understood?
Deepen your financial knowledge with 60 free learning modules and 16 calculators.
📚 To the learning paths →Das könnte dich auch interessieren