Home Country Bias
Writers must know.
I’m an ordinary househusband.
I don’t have any business degree.
But I know some finance jargon: “Home Country Bias.”
This bias can explain our hard time here.
I will explain it in three bullet points:
Home Country Bias: Investors prefer domestic investments because:
- They’re familiar with them.
- They expect higher returns.
- They used to generate high returns.
Okay, if you’re living in the US, where the S&P 500 goes up an average of 8% every year.
That’s fine.
But what will happen if Japanese investors get stuck with Home Country Bias?
Then Invest in Nikkei 225 since 1989.
This is the result.
Waste 30 years for nothing.
This is a money matter.
It’s a topic that most people should think about with all the logical sense we have.
You might think about Japanese investors and scratch your head and say,
“Hey guys, you know about the S&P 500?”
Don’t laugh because most of us are stuck with this bias.
Ron, you’re always writing about writing.
WHAT THE HELL are you talking about now?
Okay, I will point out something.
It’s all about writing.
Sometimes, you love some writing platform and can’t move on because this is a place where:
- You grew.
- You’re familiar.
- You made your first Wi-Fi money.
- You have a lot of memories.
This is a BIAS.
We should look to the future and compare risk and reward.
- If the reward is high and the risk is low, move.
- If the reward is low and the risk is high, stay.
But the risk and reward is subjective.
So, Calculate them according to your situation.
Good news: you can explore new opportunities while remaining active on the platform you are familiar with.
Now, there are many writing opportunities out there.
All we need to do is ignite our adventurous spirit in our minds.
Let’s explore.
Don’t let Home Country Bias slowly cook you.
That’s it.
Giveaway Annoucement
This is a fantastic week.
Many summer festivals are happening here.
So, the winner of this week is…
I will send the e-book to your email via a Gumroad gift.
That means you need to give me your email by:
- Comment your email here
- Add a private note to this post
