The financial services sector may be keen to highlight the importance of risk-adjusted returns but, argues Greg Davies, it is the 'anxiety-adjusted return' against which a financial plan needs to be judged
An investor may well ask why they should bother with any attempt to shoehorn behavioural evaluation, education and insights into the investment process. After all, people invest to make more money than they could without investing - so just pick investments that are going to make money and forget about the questionnaires and the psychobabble. There is certainly a market for this view. Think of those businesses that offer a single fund, or perhaps a very limited choice of funds, with discretion to invest in whatever they believe will deliver the returns their clients want, tailored to not...
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