How long is the course?

6 chapters · 14 minutes · level: Beginner

Yes. The course is part of Phase 1 — AK1A's foundation education, which is free forever.

AKM1 · Behavioral Finance

The progress effect

Vi fortsätter beteenden som belönats tidigare, även när de slutar fungera.

📖 6 chapters⏱ 14 min⚡ 170 XP⚖ Weight: —🏷 Behavioral Finance

Why this variable is decisive

Framstegseffekt är en av de vanligaste kognitiva biasarna bland svenska investerare och kostar miljarder i felaktiga beslut årligen. Att förstå att slappna av efter tidig vinst är avgörande för att undvika systematiska misstag och förbättra långsiktig avkastning.

Course overview

11. The fundamentalsChapter 1 explores the fundamentals of the progress effect with a focus on practical application.2 min
22. Practical applicationChapter 2 explores a deeper understanding of the progress effect with a focus on practical application.2 min
33. Common pitfallsChapter 3 explores the progress effect in practice with a focus on practical application.2 min
44. AKM1 1.1 integrationChapter 4 explores common mistakes with the progress effect with a focus on practical application.2 min
55. Case studiesChapter 5 explores the progress effect for Swedish investors with a focus on practical application.2 min
66. MasteryChapter 6 explores mastery of the progress effect with a focus on practical application.2 min
Total14 min

Chapter	Focus	Time
1. 1. The fundamentals	Chapter 1 explores the fundamentals of the progress effect with a focus on practical appli…	2 min
2. 2. Practical application	Chapter 2 explores a deeper understanding of the progress effect with a focus on practical…	2 min
3. 3. Common pitfalls	Chapter 3 explores the progress effect in practice with a focus on practical application.	2 min
4. 4. AKM1 1.1 integration	Chapter 4 explores common mistakes with the progress effect with a focus on practical appl…	2 min
5. 5. Case studies	Chapter 5 explores the progress effect for Swedish investors with a focus on practical app…	2 min
6. 6. Mastery	Chapter 6 explores mastery of the progress effect with a focus on practical application.	2 min
Total		14 min

Sample — the first two chapters

1. The fundamentals

Chapter 1 of 6 · 2 min

Chapter 1 explores the fundamentals of the progress effect with a focus on practical application.

10x Insight

The fundamentals of the progress effect are central to understanding the progress effect.

The fundamentals of the progress effect are central to understanding the progress effect. This chapter provides a thorough walkthrough of the concept and its link to relaxing after an early gain.

In a Swedish context, the progress effect is especially relevant because Swedish investors face unique challenges. Fishbach & Dhar 2005 contributed to our understanding of this area.

The chapter combines theory with practical examples from the Swedish stock exchange, making the content directly applicable to retail investors.

To apply the progress effect in practice, start by identifying the relevant variables in your analysis. Swedish companies offer good examples of how the progress effect works in reality.

A systematic approach to the progress effect delivers better results than ad hoc decisions. The AKM1 methodology integrates the progress effect into its 20 variables for a complete picture.

Next: 2. Practical application

2. Practical application

Chapter 2 of 6 · 2 min

Chapter 2 explores a deeper understanding of the progress effect with a focus on practical application.

10x Insight

A deeper understanding of the progress effect is central to understanding the progress effect.

A deeper understanding of the progress effect is central to understanding the progress effect. This chapter provides a thorough walkthrough of the concept and its link to relaxing after an early gain.

In a Swedish context, the progress effect is especially relevant because Swedish investors face unique challenges. Fishbach & Dhar 2005 contributed to our understanding of this area.

The chapter combines theory with practical examples from the Swedish stock exchange, making the content directly applicable to retail investors.

To apply the progress effect in practice, start by identifying the relevant variables in your analysis. Swedish companies offer good examples of how the progress effect works in reality.

A systematic approach to the progress effect delivers better results than ad hoc decisions. The AKM1 methodology integrates the progress effect into its 20 variables for a complete picture.

Next: 3. Common pitfalls

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Three perspectives

Peter Lynch

Lynch varnade för framstegseffekt och menade att 'känslor är investerarens värsta fiende'. Han föreslog reglerbaserade strategier för att motverka att slappna av efter tidig vinst.

Benjamin Graham

Graham betonade 'margin of safety' just för att motverka effekter av framstegseffekt. Han menade att investerare måste ha marginaler för att hantera att slappna av efter tidig vinst när det uppstår.

AK1A's interpretation

AKM1 identifierar framstegseffekt som en riskfaktor i V09 (ROE-stabilitet) och V12 (intäktsstabilitet). Bolag vars investerare lider av att slappna av efter tidig vinst får högre riskpremie.

Exercises

Three exercises to anchor the variable — unfold each one for guidance.

Exercise 1. Explain in your own words: what does The progress effect measure, and why does it carry — weight in AKM1?

Explain in your own words: what does The progress effect measure, and why does it carry — weight in AKM1?

Guidance: Vi fortsätter beteenden som belönats tidigare, även när de slutar fungera.

Exercise 2. Application: find one company where The progress effect is strong — and one where it is weak. What separates t…

Application: find one company where The progress effect is strong — and one where it is weak. What separates them?

Guidance: Guidance: see chapter 3 ("3. Common pitfalls").

Exercise 3. Reflection: how would your portfolio be affected if your largest holding failed precisely on The progress effe…

Reflection: how would your portfolio be affected if your largest holding failed precisely on The progress effect?

Guidance: Test it in My Portfolio (/min-portfolj) or discuss it in the lab.

Continue the curriculum

Interactive exercises, wave matrices and the AI tutor are found in the lab.

Open AK1A Research Lab See memberships

Related courses in Behavioral Finance

Chapter

Focus

Time

1. 1. The fundamentals

Chapter 1 explores the fundamentals of the progress effect with a focus on practical appli…

2 min

2. 2. Practical application

Chapter 2 explores a deeper understanding of the progress effect with a focus on practical…

2 min

3. 3. Common pitfalls

Chapter 3 explores the progress effect in practice with a focus on practical application.

2 min

4. 4. AKM1 1.1 integration

Chapter 4 explores common mistakes with the progress effect with a focus on practical appl…

2 min

5. 5. Case studies

Chapter 5 explores the progress effect for Swedish investors with a focus on practical app…

2 min

6. 6. Mastery

Chapter 6 explores mastery of the progress effect with a focus on practical application.

2 min

Total

14 min

Sample — the first two chapters

1. The fundamentals

Chapter 1 of 6 · 2 min

Chapter 1 explores the fundamentals of the progress effect with a focus on practical application.

10x Insight

The fundamentals of the progress effect are central to understanding the progress effect.

The fundamentals of the progress effect are central to understanding the progress effect. This chapter provides a thorough walkthrough of the concept and its link to relaxing after an early gain.

In a Swedish context, the progress effect is especially relevant because Swedish investors face unique challenges. Fishbach & Dhar 2005 contributed to our understanding of this area.

The chapter combines theory with practical examples from the Swedish stock exchange, making the content directly applicable to retail investors.

To apply the progress effect in practice, start by identifying the relevant variables in your analysis. Swedish companies offer good examples of how the progress effect works in reality.

A systematic approach to the progress effect delivers better results than ad hoc decisions. The AKM1 methodology integrates the progress effect into its 20 variables for a complete picture.

Next: 2. Practical application

2. Practical application

Chapter 2 of 6 · 2 min

Chapter 2 explores a deeper understanding of the progress effect with a focus on practical application.

10x Insight

A deeper understanding of the progress effect is central to understanding the progress effect.

In a Swedish context, the progress effect is especially relevant because Swedish investors face unique challenges. Fishbach & Dhar 2005 contributed to our understanding of this area.

The chapter combines theory with practical examples from the Swedish stock exchange, making the content directly applicable to retail investors.

To apply the progress effect in practice, start by identifying the relevant variables in your analysis. Swedish companies offer good examples of how the progress effect works in reality.

A systematic approach to the progress effect delivers better results than ad hoc decisions. The AKM1 methodology integrates the progress effect into its 20 variables for a complete picture.

Next: 3. Common pitfalls

Three perspectives

Peter Lynch

Lynch varnade för framstegseffekt och menade att 'känslor är investerarens värsta fiende'. Han föreslog reglerbaserade strategier för att motverka att slappna av efter tidig vinst.

Benjamin Graham

AK1A's interpretation

AKM1 identifierar framstegseffekt som en riskfaktor i V09 (ROE-stabilitet) och V12 (intäktsstabilitet). Bolag vars investerare lider av att slappna av efter tidig vinst får högre riskpremie.

Exercises

Three exercises to anchor the variable — unfold each one for guidance.

Exercise 1. Explain in your own words: what does The progress effect measure, and why does it carry — weight in AKM1?

Explain in your own words: what does The progress effect measure, and why does it carry — weight in AKM1?

Guidance: Vi fortsätter beteenden som belönats tidigare, även när de slutar fungera.

Exercise 2. Application: find one company where The progress effect is strong — and one where it is weak. What separates t…

Application: find one company where The progress effect is strong — and one where it is weak. What separates them?

Guidance: Guidance: see chapter 3 ("3. Common pitfalls").

Exercise 3. Reflection: how would your portfolio be affected if your largest holding failed precisely on The progress effe…

Reflection: how would your portfolio be affected if your largest holding failed precisely on The progress effect?

Guidance: Test it in My Portfolio (/min-portfolj) or discuss it in the lab.