People and sheep

Sheep are dumb animals. When you try to drive through a flock of them on a country road they get scared. They run and jump out of the way, then, just as they are almost all on one side of the road, one will dart back in front of your car and the rest follow.

The only animals dumber than sheep are the ones who wear wool. Humans. (Apologies to all those dogs whose owners put those stupid looking cardigans on them.) It’s human nature (i.e. sheep nature) to follow the crowd. This is fine if you have signed up to Facebook ’cause all your mates have done the same. But when it comes to where you put your money, the investment everyone is talking about is all too often the one about to turn sour.

I read a quote once (sorry, can’t remember from who) that said “In economics, the majority is always wrong.” I guess it could easily have read “Sheep make bad investors.”

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