How does the behavior of investors typically deviate when managing their accounts, according to tendencies?

Investors often demonstrate a tendency towards excessive trading, which is primarily driven by behavioral biases and emotional responses rather than rational analysis. This excessive trading behavior can be attributed to several factors, including overconfidence in their market predictions, the desire to chase after quick gains, or the motivation to respond to market volatility.

This behavior reflects a lack of discipline in adhering to a well-defined investment strategy and may lead to higher transaction costs and poor long-term performance. Investors may feel compelled to react to every piece of news or market movement, ultimately resulting in a trading frequency that can negatively impact their overall returns due to increased costs and emotional decision-making.

Meanwhile, following new trends, making informed decisions based on analysis, or steadily increasing investments represent strategies that are more aligned with disciplined investing or a systematic approach, which can be more favorable for long-term success. However, the reality for many investors is that emotional factors skew their actions, leading to the tendency of excessive trading.