The All or Nothing Bias

By Cullen Roche of Pragmatic Capitalism

Have you ever done something where the outcome turns out much better than expected and you said to yourself “man, what if I had only bet more on that outcome?”  Of course this has happened to you because it’s happened to us all. Whether it was buying a single stock that did really well, placing a bet in a casino or buying the slightly better toilet paper (which, as it turns out, was worth a bigger investment all along).


This is an exceedingly big problem in the financial markets. And it’s particularly difficult to overcome during a bull market. You see, during a bull market you’re likely to have…Read More