The Psychology of Investing: Where Money Meets Mindset
By Mercy Mwelu SEP 1 - When most people think about investing, they envision balance sheets, index charts, and the relentless pursuit of return on Kenya breaking news | Kenya news today |..
✨ Key Highlights
Mercy Mwelu explores the psychological aspects of investing, arguing that financial decisions are heavily influenced by emotions, beliefs, and biases rather than purely rational thinking. The article highlights how understanding investor psychology is crucial for success, especially in volatile markets.
- Investors pulled over USD 326 billion from equity mutual funds in March 2020 during the COVID-19 market crash due to fear.
- Jubilee Asset Management emphasizes investor education and behavioural coaching to bridge the gap between financial strategy and emotional discipline.
- A 2021 Fidelity Investments study found women outperformed men by 0.4% annually over 10 years in investing due to more disciplined approaches.
Continue Reading
Read the complete article from Capital Business
Part of the Day's Coverage
Gold Price Hits Record High as BYD Shares Plunge Amid EV Price War - September 2025
Investor behavior has led to significant shifts in global markets. The price of gold surged to a record high of $3,508.50 per ounce as global economic uncertainty, influenced by US trade policies and expected interest rate cuts, drives investors toward the safe haven asset. Conversely, shares in Chinese electric vehicle maker BYD plummeted by as much as 8% on Monday. The stock drop occurred after the company reported a significant drop in profit resulting from an ongoing price war in China’s car sector. An article on the psychology of investing notes that such financial decisions are heavily influenced by emotions and biases, especially in volatile markets.
