This podcast episode explores the evolutionary impact on our behavior in modern capital markets, emphasizing the challenges in decision-making due to the mismatch between our ancestral risk horizon and the extended financial risk horizon. It discusses the significance of paying attention to the worst 2% of market conditions to prevent impulsive decisions and focus on long-term success. The dangers of investing in glamour stocks and the pitfalls of relying on conventional wisdom are also highlighted, emphasizing the importance of rational decision-making and managing psychological biases for long-term success in the markets.
