"Think" yourself rich? Yes, you can.
The stock market returned an average of 11.8% a year from 1987 to 2006. Yet, the average investor earned a dismal 4.3% a year during that period. How could this be? The fields of behavioral finance and neuroeconomics have been studying our good and bad investing decisions for three decades. This is what they discovered:
ADVICE: Bear markets are often the best time to buy stocks.
1. Add money to stocks you already own or purchase other high-quality stocks.
2. Resist the impulse to react to day-to-day market swings and you'll come out a winner. More in Money Adviser.
