Hey guys, was just a bit curious about this: The question how would a rational man behave and how to mitigate a particular bias would carry the same answer right ?
I think they are different. A REM behaves by maximizing utility. A mitigation of a particular bias tries to get the individual closer to the optimal portfolio by education or moderation.
Have you seen any summaries that succinctly explain how to mitigate each bias? Whenever I read the CFAI curriculum on this, I never feel like I actually have an answer I’d put down on an exam…