Investment Decision-Making: Poker vs. Chess

Life and investment decisions resemble poker more than chess because they involve incomplete information and uncertainty. In poker, players make choices based on hidden information and the element of luck, which contrasts with chess, where every move is based on clear visible parameters. Annie Duke explains that treating life decisions like chess moves can lead to poor choices since chess lacks the unpredictability that real-life scenarios present. Therefore, recognizing the poker-like aspects of decision-making can improve the quality of one's investment strategies.