Stock TSLA
Anchoring and adjustment bias is the tendency to interpret new information based on an arbitrary anchor and adjust opinions accordingly. It can lead to forecasts too close to current levels and inflexible views. Discover whether you are prone to an anchoring and adjustment bias and how it affects your investment decisions with PRAAMS BehaviouRisk.
Conservatism bias is a tendency to stick to prior views or forecasts and to underreact to new information. Investors may cling to outdated data, resulting in slower adaptation and potential losses. Discover whether you are prone to a conservatism bias and how it affects your investment decisions with PRAAMS BehaviouRisk.
Availability bias is the tendency to consider events more likely if they are easier to recall. It can lead investors to make investment decisions based on readily available information, such as advertising or personal beliefs. Discover whether you are prone to an availability bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Hindsight bias is a cognitive bias whereby people believe they could have predicted an outcome after it occurs. It can lead to excessive risk-taking and hinder learning from past mistakes. Discover whether you are prone to a hindsight bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Outcome bias is a cognitive bias where decisions are based on outcomes rather than underlying factors. Investors often make this mistake and buy risky stocks. To counteract this bias, research investments thoroughly, seek professional advice, and consider factors like diversification and risk exposure. Discover whether you are prone to an outcome bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Framing bias refers to the tendency to respond differently based on the context or presentation of a situation. It can affect decision-making in financial markets, including risk profiling questionnaires. Discover whether you are prone to a framing bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Self-attribution bias leads individuals to attribute success to internal factors and failure to external factors. It can result in overconfidence, poor learning from mistakes, excessive risk-taking, and lower investment returns. Discover whether you are prone to a self-attribution bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Regret aversion bias causes investors to make wrong decisions out of fear of regret. They may hold onto losing positions or avoid selling winners, leading to irrational and risky behaviour. Discover whether you are prone to a regret aversion bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.
Representativeness bias occurs when new concepts are classified based on existing analogies, leading to incorrect understanding and investment risks. To optimise portfolios, investors should rely on comprehensive statistical analysis, diversify across asset classes, and avoid making decisions based on stereotypes. Discover whether you are prone to a representativeness bias and the extent to which it affects your investment decisions with PRAAMS BehaviouRisk.