Ariel Investments: Read Newspapers You Hate To Defeat Behavioral Biases

Charles Bobrinskoy, vice chairman and head of the investment group at Ariel Investments, has been a major bank bull. When the banks were trading at a steep discount to book value just after the global financial crisis, and the consensus herd thought the big banks might go bankrupt, Ariel was buying. Bobrinskoy, speaking on CNBC at the time, was browbeat by a bank bear who said the banks could fall like dominoes in the wake of Bear Stearns and Lehman Brothers bankruptcies, which he characterized as emotionally charged decision making. During June of 2016, when the consensus mob was all but assured of a Hillary Clinton presidential victory – and the banks were expected to come under pressure...