For several years, investors have said that they wanted to put their cash to work in the next correction. That correction has now occurred. How many people do you suppose were able to get their money invested? Based on conversations with people who wanted to invest, I doubt that most people made sizeable purchases during the recent decline. That usually happens. Two powerful biases keep us from buying when prices finally become attractive. We allow public anxieties to erode our own resolve to invest, and we wait for bigger discounts than the equity markets typically provide. Unless we learn to overcome these biases, we are at risk of continuing to miss buying opportunities when they present themselves.
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