We all love a bargain… Except when it comes to stocks. The reason boils down to uncertainty. We know what our fruits and vegetables should cost at the grocer’s — but we’re far less certain about how much to pay for a blue-chip stock or shares in an S&P 500 Index fund.
The Bloomberg Tradebook Trader Exercise has been designed by The ReThink Group to assist traders in practicing the thinking style. This mind game can be accessed over the web and bloomberg terminal. Ironically, brain and behavioral research shows that the markets only masquerade as a numbers game. They are actually a game that neuroeconomists have called “intentional social risk”.