Sunday, September 7, 2014

Can Peers Burn Holes In Your Portfolio? - by Jason Zweig

Link to article: Can Peers Burn Holes In Your Portfolio?
For investors, emotions can be contagious. With U.S. stocks near record highs and European bourses sizzling, now is the time to immunize yourself against the risk that a sudden selloff will infect the markets—and you—with panic.

New research helps explain how financial contagion spreads and how to protect yourself against it.

Paying attention to the right people turns out to be hugely important.