Why it pays to steer clear of investment fads – The National
Why it pays to steer clear of investment fads – The National
Human beings have always been prone to fads, fashions and manias — and investors are arguably the worst of the lot.
History is full of examples of crazy investment manias, from railways to canals to South Sea stocks and Dutch tulip bulbs, and the irrationality continues to this day.
We seem more prone to investment frenzies than ever. In recent years, we have had US technology, cryptocurrencies, non-fungible tokens (NFTs), special purpose acquisition companies (Spacs) and the GameStop, AMC Entertainment meme stock craze.