A new world order?

It would be beyond cliche (not to mention pointing out the scientifically bleeding obvious) to state that the world does not stand still. We in the West have got used to cultural and economic pre-eminence, but there are more factors at work than Russia's overwhelming triumph in this year's Eurovision song contest to suggest that this will not always be the case. One of the tenets of behavioural finance (about which much has been written and spoken in the current market turmoil) is the recency bias. Investors tend to believe that whatever has happened most recently - be it the outperforman...