Hubris
The characteristic of excessive confidence or arrogance, which leads a person to believe that he or she may do no wrong. The overwhelming pride caused by hubris is often considered a flaw in character. Investopedia Says:
Hubris may be developed after a person endures a period of success. Corporate executives and traders overcome by hubris may become a liability for their firms. A manager might start making business decisions without fully thinking through the consequences, or a trader may begin taking on excessive risk. In many cases, people overcome by hubris will bring about their own downfall. Related Terms:
Barings Bank
Long-Term Capital Management - LTCM
Risk
Rogue Trader
Unsystematic Risk |