Quote of the day by David Swensen: "The underlying driving force behind market timing decisions seems to be emotional — fear, greed, chasing performance — buying something after it has gone up, disappointment, and sales after something has declined."

David Swensen, a well-known investor, has highlighted the emotional factors that often lead to poor market timing decisions. He points out that fear, greed, and the desire to chase performance can drive investors to make impulsive decisions, such as buying into a stock after it has risen or selling after it has fallen. This emotional approach can be detrimental to long-term investment strategies, Swensen warns, emphasizing the importance of disciplined decision-making.

Why it matters

Investors often make decisions based on emotions like fear and greed. This can lead to poor market timing and decreased investment returns.

Market impact

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