QUESTION: Investor psychology: what cognitive biases hinder investing?

Investor psychology plays a key role in shaping portfolio returns, and cognitive biases often become the main cause of financial losses. One of the most common traps is confirmation bias, where a person looks only for news that supports their opinion and ignores obvious risks.

To successfully cope with psychological traps, start by setting a clear goal in terms of figures and specific deadlines, and then break it down into small, manageable steps. Anchor these steps in your personal or family budget so that investing becomes a habitual financial discipline rather than an emotional game on the stock exchange.

Review your investment plan and psychological comfort level exactly once a month, recording any changes in your perception of risk. Avoid extremes when evaluating results, leave room for maneuver in real life, and celebrate even the most modest successes on the path to building capital, relying on numbers rather than fleeting impressions.