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Loss-aversion bias is observed often by wealth managers. The classic case of this bias is when an investor opens the monthly account statement and scans

Loss-aversion bias is observed often by wealth managers. The classic case of this bias is when an investor opens the monthly account statement and scans the individual investments for winners and losers. Seeing that some investments have lost money and others have gained, discuss how the investor is likely to respond given a loss-aversion bias.

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