Decision journal
Also called: investment journal
A written record of each decision, its reasons, what you expect and what would prove you wrong, made before the outcome is known.
Because memory rewrites itself after results are known, a journal lets you review the reasoning you actually had. It helps separate bad decisions from bad luck and guards against hindsight bias.
Learn more in these lessons
- Good decisions and good outcomesDoes a profitable investment prove it was a good decision?
- Reviewing mistakes and updating conclusionsHow do you learn from investment mistakes without fooling yourself?
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