Investors may spend a lot of time fretting over whether their portfolios are going up or down. But, despite all of the advances in stock market data availability, many may not be getting an accurate picture of what their portfolios are really doing, says The Wall Street Journal’s Jason Zweig. According to Zweig, after last [...]
Read moreDividends and “Corporate Scrooges”: WWBGD (What Would Ben Graham Do)?
While U.S. companies have been raking in big profits since the end of the Great Recession, much of those profits are staying locked up on corporate balance sheets. And, in a recent column, The Wall Street Journal’s Jason Zweig takes a look at why that’s happening, and what he thinks the great Benjamin Graham would [...]
Read moreBattling Your Brain: How Loss Aversion Hurts Investors
Human beings are prone to a variety of behaviors that make them bad investors, and in an article for The Economic Times, Vivek Kaul looks at a major one: “loss aversion”. First identified and named by psychologists Daniel Kahneman and Amos Tversky, loss aversion is a phenomenon in which “people tend to base their decisions [...]
Read moreWhy Corporate Cash Isn’t Helping Investors
Investors have been hearing for some time now about the hordes of cash being stashed on U.S. corporate balance sheets. In a recent column, The Wall Street Journal’s Jason Zweig explains a big part of why the cash stockpiles are so high — and why that cash might not be benefiting investors anytime soon. “U.S. [...]
Read moreZweig on Cloudy Forecasts
While scores of analysts and strategists have been offering their 2011 forecasts about how much the S&P 500 will gain or lose, how much gross domestic product will grow or shrink, and a myriad of other financial figures, The Wall Street Journal’s Jason Zweig offers a prediction of his own: Most of those forecasts, he [...]
Read moreThe Pros Keep Buying High and Selling Low
The Wall Street Journal’s Jason Zweig says many money managers are failing to use a fairly simple tactic — portfolio rebalancing – that could be costing clients a good deal of money. “Investment professionals are supposed to exercise independent judgment; in Warren Buffett’s words, they should be fearful when others are greedy and be greedy [...]
Read moreWhy Following the Herd Is Like Sex and Candy for Investors
Why do investors tend to move in herds, buying when others buy and selling when others sell? According to a new study, it’s because of biology. The study, detailed by The Wall Street Journal’s Jason Zweig in his latest column, was performed by researchers from University College London and Denmark’s Aarhus University and published in [...]
Read moreZweig: Time to Sit Tight — or Tip-Toe into Euro Stocks
While Europe is getting a lot of attention for its debt problems, Wall Street Journal columnist Jason Zweig says the U.S. may be in worse financial condition than many of the so-called “PIIGS” nations. And, he says, rather than running from European equities, it may be time to start snatching them up. According to the [...]
Read moreWhat an Inefficient Market Means for Investors
In his latest Wall Street Journal column, Jason Zweig offers an interesting take on the efficient market hypothesis, channeling the late, great Benjamin Graham for guidance. Zweig says that while the stock market may give the most accurate estimate of a stock’s value based on the available information, that doesn’t mean its estimates are right. [...]
Read moreAvoid “Confirmation Bias”
In his latest Wall Street Journal column, Jason Zweig discusses one of the behavioral pitfalls that can drag down many investors’ portfolios: confirmation bias. What is confirmation bias? “In short,” Zweig explains, “your own mind acts like a compulsive yes-man who echoes whatever you want to believe. … A recent analysis of psychological studies with [...]
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July 11, 2011


