Tag: emotional investing

The start of a new year is the perfect time to change old habits and make choices that promote growth and well-being. This isn’t only good advice for life, but also for one’s investments. As we welcome 2022, there may be no better opportunity to look back at how the investment landscape has changed, consider where the biggest opportunities for the next 11 months will come from, and take note of which investment habits you need to shake.

In his previous budget speech, Minister Mboweni mentioned a host of different taxes that the revenue man would soon be collecting from us. From personal income tax, to fuel taxes, corporate and carbon taxes – the list was long. But one tax he didn’t mention – and to his credit it is not an official tax (but I would argue it should be) – is behaviour tax.

The last quarter of 2018 can be described as the worst period that investors have experienced since the global meltdown of the financial markets in 2008/9. When these moments of market correction occur, astute investors sit tight while others panic and make irrational decisions.