Some good behavioral investing reads from this week: Rick Ferri on why market timing doesn’t work – probabilistically or practically.  (ETF) Jason Zweig on how market stress leads to drastic pattern changes in investor behavior.  (MoneyBeat) “What is it about risk taking that so eludes our understanding, and our control?”  (NYT) A is for Anchoring…

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Killer chart from strategist Richard Bernstein of Richard Bernstein Advisors this week. Bernstein has been bullish on US equities for the last few years both in absolute terms and, especially, versus the emerging markets. He sees the US small and midcap sector, which are heavily focused on the US economy, as being a better bet…

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Brown’s Economic Law: the better a country is at soccer, the worse it is at containing inflation. #WorldCup2014 — Downtown Josh Brown (@ReformedBroker) June 13, 2014

  These were the most read posts on TRB this week, just in case you missed them… Horseshoes and Hand Grenades The Investor Class gets another raise this year Everything you need to know about investors in one chart Cake Bubbles, Art Bubbles, etc. TURN DOWN FOR WHAT!  

You’ll notice something highly obvious in the below chart – the ratio between CEO compensation and average employee compensation tends to spike during stock market booms – this is, of course, related to the fact that execs take stock and options while most worker pay is in the cash they actually need to, um, live….

From the 2014 ICI Factbook: Among all U.S. households, the percentage willing to take above-average or substantial investment risk also tends to move with stock market performance. U.S. households tend to become less tolerant of investment risk following periods of poor stock market performance. For example, among all U.S. households, willingness to take investment risk…