Additionally, some people make numerous trades simply because they like the thrill of buying and selling investments. Others convince themselves they can look at their past investments and are therefore able to predict the course of the stock market. "Investors should know that hindsight errors lead them to the false belief that they can see clearly the direction of markets and the fate of investment in foresight, when in truth, they see them clearly only in hindsight," says Santa Clara University's Statman. "They should frame trading as [playing] tennis against a possibly better player than tennis against a practice wall."
Similar to life, the outcomes of investments cannot be controlled, but investors can give themselves an edge if they can find a way to utilize their emotions.