People are predictable, in so many ways.

What one person does can (and usually does) affect the way another person reacts and takes action. Carl Richard’s fabulous illustration says it all.

Investors, teenage girls, and sheep, what do they all have in common?

Investors read about a hot mutual fund and buy, the problem is the results are from past performance. Hot mutual funds share results that have already happened, the new investors merely shrink the returns. The new owners of the mutual fund have probably missed the boat.

Teenage girls, that doesn’t even need any explanation, does it?

Sheep, ever see a flock in a field? Where one goes, the rest will follow, that is why sheepdogs are so effective, they control one sheep and the rest will fall in step.

When it comes to money, following the pack can mean investing without a real plan. Be honest with yourself, know what goals you are trying to accomplish and set a course.

Carl Richards and his wonderful drawings can be found at www.behaviorgap.com, please visit and enjoy.