Trump’s Election Shows How Much Investors Have to Learn
Investing based on how you vote is still a terrible idea.
Bloomberg, October 3, 2018
People, people, people, must we go over this yet again?
I have gently chided you over the years not to allow politics to infect your portfolios.
Why is it that you otherwise intelligent folk seem to be impervious to understanding how your own wetware operates? Yes, I am understand that Humans will never collectively learn this lesson.
Today, I want to share some evidence that even the smartest of you are all too susceptible to allowing your emotions to get in the way of your cool, logical intellect: a recent NBER study shows the partisan brain is alive and well and impacting portfolios in America. Or as Bloomberg News described it, “Republican Voters Bet on Stocks After Trump’s Win. Democrats Didn’t.”
And after I specifically warned you about this both before and after the election . . .
Find out the full details of how the election impacted investors here.
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I originally published this at Bloomberg on Bloomberg, October 3, 2018. All of my Bloomberg columns can be found here and here.
