Loss aversion is the tendency for people to prefer avoiding losses over acquiring potential rewards, which can lead to avoiding risks even when those risks could result in larger gains; this can be mitigated by focusing on the long-term benefits of an investment.

Authors

• Person: Not available Organization: North American Company
  Factors that can affect financial decision-making - North American

Sources

• Factors that can affect financial decision-making - North American www.northamericancompany.com North American Company via serper

Referenced by nodes (1)

• Loss aversion concept