Investing Psychology

Earlier in the week I asked Bristlemouth readers a couple of unrelated questions:

1.      What are the last two numbers of your mobile phone number?

2.      What percentage of countries in the United Nations are African?

We received 218 responses to our little poll and we split the responses up into those with a phone number than ends between 50 and 99 and those with a phone number between 00 and 49. The results look like this:

A recent study has lent academic credibility to the idea that 'those who flee temptation generally leave a forwarding address'. It's a concept that has important implications for investors.

Human beings aren't wired to recognise the substantial difference between 1% and 2% per annum. The fine print is correct, however, that small differences in fees can have a huge impact on your long-term returns.

Stockmarkets have had a tough time over the past six months and we’ve been caught in the firing line. Steve Johnson looks at some of the lessons we can draw from the experience.