Doctors and dentists are highly intelligent professionals with high incomes. But when it comes to investing, high IQ and overconfidence work against them. Why would they be such bad investors? Daniel Solin at Daily Finance pointed out that “doctors and dentists are busy people who don’t have the time to focus on their investments. In addition, many of them believe that, since they are high achievers in their professions, they have the ability to select brokers and advisors who will leverage their savings and provide for their retirement.” We can learn from that pitfall by avoiding the marketing ploy from active investment community that try to capture our assets. Regardless of occupations, smart investing is the same for anyone. Everyday investors should focus on asset allocation and make use of low cost index funds in their globally diversified portfolio. Both health and wealth are the most important assets. We can take care both of them by avoiding tricky mistakes. (dailyfinance.com)
Why Smart Doctors and Dentists Make Dumb Investors
