Check out this new series “Your Own Worst Enemy.”
That term comes from the famous Benjamin Graham quote from, The Intelligent Investor, published in 1949:
“The investor’s chief problem—and even his worst enemy—is likely to be himself.”
Lots of behavioral biases hold investors back.
Part I: Optimism bias, and specifically overconfidence.
Trying to beat the stock market is, itself, an example of optimism bias.. because it’s extremely hard to do.
You either need to do one or both of the following: pick stocks that will outperform in the future, and get in and out of the market at the right time.