This report examines the ways investors can mitigate their money-losing behavior during maximum impact events. Not all markets are the same and different market conditions will affect investor behaviors in varying ways and to varying degrees.
Using over 30 years of QAIB data, DALBAR was able to see the points in time when investor decisionmaking was at its worst. Given the knowledge of when investors are most vulnerable to their irrational behavior, we can anticipate when these behaviors may reoccur.
View data for 10 months in which the Average Equity Fund Investor underperformed the S&P 500 by the largest margin. Data for the succeeding 3 months is also displayed to illustrate what investors are likely to do in the succeeding months.
For more information about DALBAR's QAIB, please contact Cory Clark at 617.624.7156.