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Level III
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Asset Allocation
Asset Allocation
Medium
After a sharp market decline, a wealthy investor instructs her advisor to move all equity holdings to cash, stating: 'I can't take any more losses — I need to protect what's left.' This behavior most likely reflects which behavioral bias?
A
Loss aversion combined with recency bias
B
Overconfidence
C
Anchoring bias
D
Confirmation bias
Select an answer to continue
Tags
#behavioral-biases
#loss-aversion
#recency-bias
#decision-reversal
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