9 Psychological Biases That Hurt Investors

Patrick R. McDowell, CFP®, AIF® was quoted in a US News & World Report article by Christine Giordano discussing psychological biases hurt hurt investors.

The gambling mentality.

If you're thinking of your stocks as gambling, then you probably haven't done enough research about your investments. "The gambling mentality is a huge detriment to long-term success in investing," says Patrick McDowell, investment analyst of Arbor Wealth Management. Although most investments do contain risk, "a successful investor thinks about stocks as proportional shares of businesses to be bought or sold when appropriate for their own situation, not as pieces of paper to gamble with," he says.