Inattention

Farnam Street, the fantastic behavioral economics blog, has a great post up there today, on why the mind sometimes misses things it should otherwise catch:

Read it here or check out the better video below.

As an investor in any sector, it is always easy to see things ex post - how many times have you thought to yourself: " Well that was obvious"

The key is to look at every situation, and don't simply dismiss ideas based on your initial biases. Revisit the investment ideas with a clear mind, and see if you spot the dancing bear. Spot enough of them, and you become a better than average investor.