1. Psychology for investors
Winners and losers
In the market
Winners and losers
Psychology for investors
In the market
Trading as a voyage of self-discovery.
Investing and Psychology
Our single greatest problem.
The thoughts that control our lives.
Psychology can help us gain more control over our thoughts and thereby our actions.
Winning in the market is a balance between the internal and the external.
Perception Scale
Why do investors lose?
Lack of confidence.
Lack of an investment plan.
Execution.
Fear of loss.
Bernstein’s 5 greatest blunders
Not taking a loss at the right time.
Not acting on signals.
Closing profitable investments too soon or too late.
Acting on “outside” information.
Investing with insufficient capital.
Coping with stress
Examine your belief system – should, must. Who said I should or shouldn’t?
Relabel positively – problems = challenges.
Choose a positive inner dialogue – negatives as cues.
The Esalon Exercise.
Coping with Stress
Live one day (hour) at a time.
Laugh at yourself.
Manage your time efficiently. The Time Log The Premack Principle
Know your early warning stress signals.
Take a daily “mental holiday”.
Make use of compartments.
Worry time + elastic band.
Exercise.
Watching the breath.
The Confidence circle.
What top investors have
Patience
Discipline
Independence
Love of the game
Emotional detachment
Willingness to take risks
Investing to win, not for excitement
Self-confidence – total belief in success
Acceptance that losing is part of the game
Responsibility for each investment
An effective winning strategy
- to fit the personality
- specific plans and rules
A single approach in which they specialize

2. Investing and Psychology
Trading as a voyage of self-discovery.
Our single greatest problem.
The thoughts that control our lives.
Psychology can help us gain more control over our thoughts and thereby our actions.
Winning in the market is a balance between the internal and the external.
Perception Scale

3. Why do investors lose?
Lack of confidence.
Lack of an investment plan.
Execution.
Fear of loss.

4. Bernstein’s 5 greatest blunders
Not taking a loss at the right time.
Not acting on signals.
Closing profitable investments too soon or too late.
Acting on “outside” information.
Investing with insufficient capital.

5. Coping with stress
Examine your belief system – should, must. Who said I should or shouldn’t?
Relabel positively – problems = challenges.
Choose a positive inner dialogue – negatives as cues.
The Esalon Exercise.

6. Coping with Stress
Live one day (hour) at a time.
Laugh at yourself.
Manage your time efficiently. The Time Log The Premack Principle

7. Coping with stress
Know your early warning stress signals.
Take a daily “mental holiday”.
Make use of compartments.
Worry time + elastic band.
Exercise.
Watching the breath.
The Confidence circle.

8. What top investors have
Patience
Discipline
Independence
Love of the game
Emotional detachment
Willingness to take risks
Investing to win, not for excitement

9. What top investors have
Self-confidence – total belief in success
Acceptance that losing is part of the game
Responsibility for each investment
An effective winning strategy
- to fit the personality
- specific plans and rules
A single approach in which they specialize