Recency Bias: The Silent Enemy of Long-Term Wealth

One of the most common investment mistakes isn’t lack of information - it’s recency bias. We assume what’s working now will keep working forever. History tells a different story.

Markets move in cycles. The solution is to stay "Diversified" every time, as nobody knows the market's next move.

Assets that outperform today often cool off tomorrow. Chasing recent winners usually means buying near the top, with limited long-term upside.

Smart investors think differently:

• They focus on asset allocation, not headlines
• They diversify across market caps and asset classes
• They look for value, not hype
• They stay disciplined when the crowd gets emotional

Wealth isn’t built by following the crowd. It’s built by understanding cycles—and letting time do the heavy lifting. Are you investing based on recent performance, or long-term principles?