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This Mental Bias Explains Why Investing Is So Scary
Investing can be scary. According to certified financial planner Douglas Goldstein, author of "Rich As A King: How the Wisdom of Chess Can Make You A Grandmaster of Investing," — a book which he co-wrote with chess grandmaster Susan Polgar — people's emotions around losing money are stronger than their emotions around winning it. In fact, our fear of losing is so significant that it has a name: "loss aversion." Goldstein says it's anything but good for our decision-making process. "The fear of losing, known as 'loss aversion,' trumps the joy of winning in most situations, and this imbalance frequently ... (full story)