Are You Part of the Herd?
You may be prone to following the herd if...
- you make investment decisions frequently.
- you invest in "hot" stocks or other popular investments.
- you sell investments because they're suddenly out of favor, not because your opinion of them has changed.
- you're likely to buy when stock prices are rising and sell when they ar falling.
- ou make spending and investment decisions based solely on the opinions of friends, colleagues, or financial advisers.
- your spending decisions are heavily influenced by which products, restaurants, or vacation sports are "in."
If you live by the herd, you die by the herd.
Tags: Herd Mentality, Investing