Who are stock buyers and why are they optimists? Financial expert explains the psychological background
According to a report from www.faz.net, it shows once again that many stock buyers are optimists. They invest because they believe everything will work out well in the end. But this attitude can also lead many market participants to forget how previous financial crises came about. It is significant that stock market investors often have short memories, especially when it comes to interest rate developments. After a period of zero interest rate policy that followed the financial crisis 15 years ago, many investors seem to have forgotten that this led to an unstable economic environment. Because wasn't it precisely the zero interest rate policy that led to massive unrest and...

Who are stock buyers and why are they optimists? Financial expert explains the psychological background
According to a report by www.faz.net, it shows once again that many stock buyers are optimists. They invest because they believe everything will work out well in the end. But this attitude can also lead many market participants to forget how previous financial crises came about.
It is significant that stock market investors often have short memories, especially when it comes to interest rate developments. After a period of zero interest rate policy that followed the financial crisis 15 years ago, many investors seem to have forgotten that this led to an unstable economic environment. Because wasn't it precisely the zero interest rate policy that led to massive unrest and a general crisis?
It is important that investors remember past events and not just be optimistic about the future, but also keep an eye on the risks and issues. An overly optimistic attitude can lead to excessive risks that could cause the market to collapse again.
As a financial expert, it is my job to point out that the past is an important teacher - especially in the financial industry. Although optimistic attitudes are important, they must not lead to forgetting historical mistakes and crises. Only by taking a balanced look at the past and the current situation can investors make successful decisions in the long term.
Read the source article at www.faz.net