The happiness curve

People like to make  money – this is more fact than opinion. And while it is fair to say money does not buy happiness, I think it is also true people are happy when they are making money. But in this tricky old world of investing, is going for a headline grabbing double digit return the quickest route to happiness? There exists in the industry something I like to call ‘the happiness curve’. The basic hypothesis of this is that investors are pleased when they are making money on their investments and are miserable when they suffer a loss. So far, so obvious. But the theory goes on to...