Coronabias and the Fat Tail
In judging other people’s reaction to the coronavirus, are we in danger of displaying a new kind of “coronabias”? Philip Maymin explores this and the wider implications for investor behavior in the current crisis.
From Texas Hold’em to Performance Coach: An Interview with Poker Pro Chris Sparks
Essentia CEO Clare Flynn Levy talks to former top-20 online poker player (and Behavioral Alpha Poker Night host) Chris Sparks about the lessons investment professionals can learn from elite-level poker.
The Consequences of Normalized Deviance
Ignoring standard procedure can be disastrous in complex, dynamic sectors like aviation and finance. Clare Flynn Levy considers the presence of normalized deviance in asset management and provides a list of steps to identify and overcome the ways it may already be affecting your investment team.
Don’t Ride a Falling Star
How did the Neil Woodford fund saga become so dramatic - and so destructive? Clare Flynn levy looks beyond traditional risk attribution and style-drift warning signals to explore how unchecked biases brought down this star manager.
Ted Williams’ Great Lessons for Investors
Arguably the greatest hitter known to baseball, Ted Williams was driven by a philosophy of self-improvement across every dimension of his game. Guest blogger, Charley Ellis, reviews William’s book, The Science of Hitting, and uncovers universal insights into performance and skill that every PM and analyst can benefit from reading.
5 of the Biggest Cons in US Financial History
If you think you’re too smart to be the victim of a con artist, you’re sorely mistaken. In a nod to Dr Maria Konnikova's session on the science of 'the con' at this year's Behavioral Alpha, we present five of the US' greatest financial swindles.
Active management does have a future – and here’s what it looks like
Former PM and buy-side thought leader, Jason A. Voss, considers how the industry will evolve over the next 7-10 years, and the change that's needed to develop a new breed of successful active manager.
What do poker and investing have in common? Our 7 favorite quotes
Poker is a well-known training ground for many investors and traders. Here is a short but sweet collection of our favorite quotes on the relationship between playing a strong hand at the poker table and making a canny investment decision.
Why investing is like poker (but not chess)
Poker legend Annie Duke talks to Clare Flynn Levy about the similarities between poker and investment, and why she believes that human decision-making can hold its own against the algorithms in a world of decision-making complexity.
From Flushing Meadows to the NYSE: Why your behavioral idiosyncrasies matter
Player psychology and process has always been important important in tennis - but never more so than at this year's US Open. Guest blogger John Quartararo explores the behavioral rituals of some well-known champions and considers what investors can learn from them.