Posted on : January 23, 2019
Views : 5
Category : Finance
The link between investors’ performance and their background and behaviour. At Stamford, Prof Furnham attends meetings with fund managers, watching how they react and how they answer questions. He also speaks to people who know the managers, such as their analysts, to try to understand their make-up. There are a number of personal characteristics that seem to predict behaviour and performance over time,” he says. These include a fund manager’s focus on detail, their intellectual curiosity, ability to carry out granular analysis and their relationship with peers and subordinates. The best managers are the best at getting the best out of their analysts,” he says. Prof Furnham looks closely at fund managers’ ability to recognise and regulate their emotions: “If you become emotionally volatile, it has a huge effect on decision making.”