Podcasts · Informed Decisions: Ireland's Independent Retirement Planning Podcast
Don't Be The Magpie, And Achieve Better Investment Returns
· 27 min
Episode Don't Be The Magpie, And Achieve Better Investment Returns
In this week's podcast, we dive into why so many investors underperform the very funds they invest in. Drawing on Morningstar's Mind the Gap 2025 research, we explore how "magpie behaviour" — chasing shiny new investments, panicking in downturns, or tinkering too much — quietly erodes long-term wealth.
The evidence is clear: bad behaviour can cost over 1% per year, compounding into massive losses over time. But the gap isn't inevitable. This episode shares practical steps to help you capture more of the returns you deserve — and avoid being the magpie.
Key Points
•
Morningstar "Mind the Gap 2025" shows investors lose ~1.2% per year due to poor timing and bad behaviour.
•
Chasing shiny investments (like tech, AI, or thematic funds) often backfires.
•
ETFs and bond funds show wider performance gaps due to frequent trading.
•
Behaviour matters more than markets or fees — discipline drives long-term returns.
•
Five ways to close the gap:
•
Automate contributions, rebalancing, and withdrawals
•
Work with an advisor to stay disciplined
•
Focus on low-cost, globally diversified core holdings
•
Keep "fun money" small if dabbling in niche funds
•
Build a margin of safety into your financial plan
Disclaimer
Links in the notes 1
Shows are listed from Apple Podcasts' charts and directory, and Podcast Index where it is used. Every show and episode belongs to its publisher and plays from the publisher's own feed; this site hosts none of them. Explicit shows are for adult profiles only, and children’s profiles hear only children’s shows. More about this list.