COMMON sense need not be common practice. I picked up this phrase from a fellow speaker at a recent seminar and I am in total agreement. In all aspects of life, even in personal finance and investing, one may be expected to be at least reasonably rational. But in reality, it is seldom so.
If there are different opportunities to make the same amount of profit, we should expect investors to be indifferent as to which opportunity they opt for. The reverse should also hold true for potential losses.
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