Missing out: Are investors paying too much for certainty?

As human beings, investors do not always act rationally and deep-rooted behavioural biases can affect both the decision of whether to invest and how to invest. One very human response that has exerted a powerful influence on investment decision-making since the shock of 2008 is the struggle to find certainty.  However, when investors begin to overvalue ‘certainty’ and consider an asset to be ‘risk free’, it is often at its riskiest. Those who believed the ‘certainty’ of cash was the safest option since 2008 have missed out on some considerable opportunities available to those willing to ...