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Podcast: Investor Connect Podcast
Episode: Startup Funding Espresso – Outcome Bias
Description: Outcome Bias Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Outcome bias is a cognitive bias defined by Wikipedia as the tendency to judge a decision by its eventual outcome instead of based on the quality of the decision at the time it was made. Investors judge an investment based on the outcome alone and often disregard the circumstances under which it was made. Results can come from factors other than the original decision. To overcome the outcome bias, an investor should take notes about the information available...