The Investment

      Investments are the most talked about area of investing. It is also the one that is the most stable area for judgment.   Investments can be valued by a number of common measures that are easy for people to understand.  When prices don’t behave as investors expected, they become uncertain and start to act on their emotions.  They don’t seem aware that external market factors have a greater influence on prices than the fundamentals of the stock.  

     They also forget Wall Street has never met an investor demand they couldn’t saturate.  Too many shares can hurt prices while fewer shares can take prices higher without earning a dime more.  Investor emotions also have cycles that influence prices to extremes.  Investors need different strategies or plans to grow and preserve their assets through an entire economic and investor behavior cycles.