How to Manage a Common Cognitive Bias

There are many cognitive biaces out there. Different people are susceptible to different biases. Some of them are more likely to impactus based on who we are and some of our brain chemistry. So if you're thinking about sell off an asset that's performing well, ask yourself what’s the true motivation behind that decision? Do you want the dopemin hit, or do you believe that some underlying fundamental has changed? And compare this decision to your investor policy statement, which is your written statement about your time line  and risk tolerance. Is this decision aligned with your own written personal investment policies? These are some examples of and ways to manage a common Cognitive Biace.