‘Anchoring’ can be most detrimental to the best interests of investors; it is, in fact, something we all have a tendency to do, and which we should almost always try to avoid. It is the tendency to evaluate buying and selling decisions around a specific number which emotionally latches itself into our minds based on dangerous misconceptions.

One’s attitude towards investing is likely to be heavily influenced by age.

While not a hard and fast rule, young investors are more likely to take greater risks than older investors; the rationale being that, if things go sour, younger investors have more time to ‘get things right’.

Well, yes, though not always.