How to wean clients off performance-chasing

Do you remember how bad things seemed in 2008-2009? Yet, four years after many investors probably wanted to bail out of the markets completely – and many probably did – all the major stock markets have recovered strongly. One lesson from the bear market is that letting emotions drive investment decisions usually leads to regret. Fear caused some investors to lock in their losses at the bottom of the market. Unfortunately, many of those missed out on the recovery that followed. ‘Past performance’ is in...