UK Equities - Key Points
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UK Equities - Key Pointsbody
• Always diversify your portfolio across equities, asset classes and currencies.
• A Towers Watson study suggested that it can take 17 years to discern luck from skill in a manager. Don’t be short-termist.
• Have realistic expectations as to likely market returns.
• Fees matter in a low-return environment.
• Be aware of behavioural biases in financial decision making: over-confidence, loss aversion, extrapolation, under-reaction and overreaction.
• Remember Warren Buffett once said: “I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful.”
Source: Beaufort Investment Management