Why Is “Buying Low And Selling High,” So Difficult To Do For Individual Investors?

Oct. 7, 2011 - PRLog -- Fustey argues that much of the problem lies in the brains of investors. The book adeptly catalogs the biases and mental shortcuts that can distort an investor’s perception of risk and how they fail to process information correctly.

He extends criticism to the financial-advice industry and actively managed investments such as mutual funds, which he contends are riddled with hidden costs, conflicts of interest and self-serving tactics that exploit these weaknesses of investors.

Perhaps the book’s biggest warning is to avoid “chasing past returns”; as too many investors mistakenly believe an investment’s past returns can predict its future performance.

The author expresses his views in everyday language bolstered with supporting evidence. Fustey ultimately proposes a practical solution—combining exchange-traded funds with the strategic use of puts and calls- to hedge against damaging losses.

Kirkus Book Reviews calls Risk Financial Markets & You:
“Persuasive, no-holds-barred advice that will lead investors to rethink where they put their nest eggs. It can prompt the average investor to ask tougher questions when his financial advisor pitches another mutual fund that seems like a sure bet.”

The book is available at amazon.com, amazon.ca and as an e-book at amazon.com/kindle.

About The Author – Alan Fustey is a 25 year veteran of the financial advice industry with experience in portfolio management, derivative securities and structuring investment strategies for high-net-worth private clients. He is the Managing Principal of an independent portfolio managerment company

For more information or to arrange an interview, contact:
Alan Fustey 204-989-6200 or visit:  www.riskandyou.com