Vanity & Ego

Vanity is excessive pride in or admiration of one’s own abilities, appearance, or achievements. There is a fine line between vanity and ego. Ego is a person’s sense of self-esteem or self-importance.

Vanity may be the devil’s favorite sin, but ego can be a trader's (or investor’s) worst nightmare.

Ego gets in the way of rational, logical, and reasonable conclusions because fear and greed can tug on our egos and cause us to make mistakes.