Insights
Overcoming Behavioral Biases: The Importance of Our Proprietary Portfolio Exercises
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Insight Article
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April 01, 2024
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April 01, 2024
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Overcoming Behavioral Biases: The Importance of Our Proprietary Portfolio Exercises |
All humans have behavioral biases, those blind spots that can impact decision-making. As investment managers, we must recognize that individually, and as an investment team, we are likely to have biases about stocks we own and the process for picking those stocks. Understanding that we have biases is the first step, but what can we do to proactively overcome them? Within Eaton Vance Equity, we believe that having deep company-specific knowledge, training in financial statement analysis, and decades of collective experience are necessary, but insufficient, to achieve strong investment results. Since 2014, we have integrated the discipline of conducting Portfolio Exercises into our investment process, a differentiator in the way we manage money and an important element to our success.
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Managing Director, Co-Head of the Diversified Equity Group
Eaton Vance Equity Global Team
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Co-Head of Value Equity
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