If You Like Gin And Marmite, You Are Probably A Better Trader

There are correlations between taste preferences and personality (disorders) which are also highly present on the trading floor — so check your tastes to see if you are already likely to be a winner!

Evidence has been reported that there are correlations between liking certain bitter tastes and certain personality factors.  Personality as generally understood does not really exist; the belief to the contrary is known as the Fundamental Attribution Error.  However, there are some stabilities in character which are or approach being diagnosable as “personality disorders.”  These though are very much in the eye of the beholder in terms of whether or not they impair effectiveness.  It turns out that these same personality stabilities are highly prevalent in competitive professions, so these people must be doing something right.

Researchers from the University of Innsbruck reported as follows:

Individual differences in bitter taste preferences are associated with antisocial personality traits

Bitter tastes are basically self-explanatory.  Marmite and gin and tonic are two obvious examples, but tea or coffee without sugar could be others.  One might also start looking at wine types.

The authors found robust correlations between preferences for such bitter tastes and the Dark Tetrad, which is the Dark Triad plus everyday sadism.  The Dark Triad is one of the stable factors in personality.  It consists of Machiavellianism, psychoticism/psychopathy, and narcissism, at levels below threshold for diagnosis as a personality disorder.

Machiavellianism could also be termed manipulativeness.  It reflects how likely someone is to be devious or to manipulate others for their own benefit.  Psychosis means susceptibility to delusions.  Some false beliefs — especially false positive beliefs about the self — are correlated with individual success.

Some authors in the literature include psychopathic tendencies instead of psychosis.  These tendencies come from a wide potential array of behaviours.  Some or all of the following may be present:

  • glibness
  • superficial charm
  • grandiosity
  • pathological lying
  • manipulation of others
  • lack of remorse and/or guilt
  • shallow affect
  • lack of empathy
  • failure to accept responsibility
  • stimulation-seeking behaviour
  • impulsivity
  • irresponsibility
  • parasitic orientation
  • lack of realistic life goals
  • poor behavioral controls
  • early childhood behaviour problems
  • criminal activity

Obviously some of these are very unhelpful.  But we can imagine that others could be extremely useful.

Narcissism is an extreme level of self-absorption and self-belief.  This looks as though it will be really quite useful in terms of allowing people to fail repeatedly with no adverse ego consequences.

We know that the Dark Triad –and presumably also the Dark Tetrad, since that is very similar — are heavily over-represented in certain professions.  That is: investment banking, journalism and politics.  All of these professions are extremely competitive and perhaps also require a certain amount of ability to exploit others.  This can therefore explain why the Dark Triad would often be seen on the trading floor as well.

Of course, this shows correlation rather than causation.  However, since we have a plausible explanation as well as a correlation — it seems likely that being a Dark Triad person will be valuable when trading.  And now, since we have observed correlations* with bitter taste preferences, there is an easy way to check!

(Disclosure: I am well-known for liking ridiculous amounts of Marmite.  I don’t mind a gin and tonic either.  And I wrote this: https://www.amazon.co.uk/Psychology-Successful-Trading-Behavioural-Profitability/dp/1138096288/

So that’s one more data point!)

*The Innsbruck researchers say they have succeeded in:

consistently demonstrating a robust relation between increased enjoyment of bitter foods and heightened sadistic proclivities

Author: Tim Short

I went to Imperial College in 1988 for a BSc(hons) in Physics. I then went back to my hometown, Bristol, for a PhD in Particle Physics. This was written in 1992 on the ZEUS experiment which was located at the HERA accelerator in Hamburg (http://discovery.ucl.ac.uk/1354624/). I spent the next four years as a post-doc in Hamburg. I learned German and developed a fondness for the language and people. I spent a couple of years doing technical sales for a US computer company in Ireland. In 1997, I returned to London to become an investment banker, joining the legendary Principal Finance Group at Nomura. After a spell at Paribas, I moved to Credit Suisse First Boston. I specialized in securitization, leading over €9bn of transactions. My interest in philosophy began in 2006, when I read David Chalmers's "The Conscious Mind." My reaction, apart from fascination, was "he has to be wrong, but I can't see why"! I then became an undergraduate in Philosophy at UCL in 2007. In 2010, I was admitted to graduate school, also at UCL. I wrote my Master's on the topic of "Nietzsche on Memory" (http://discovery.ucl.ac.uk/1421265/). Also during this time, I published a popular article on Sherlock Holmes (http://discovery.ucl.ac.uk/1430371/2/194-1429-1-PB.pdf). I then began work on the Simulation Theory account of Theory of Mind. This led to my second PhD on philosophical aspects of that topic; this was awarded by UCL in March 2016 (http://discovery.ucl.ac.uk/1475972/ -- currently embargoed for copyright reasons). The psychological version of this work formed my book "Simulation Theory". My second book, "The Psychology Of Successful Trading: Behavioural Strategies For Profitability" is in production at Taylor and Francis and will be published in December 2017. It will discuss how cognitive biases affect investment decisions and how knowing this can make us better traders by understanding ourselves and other market participants more fully. I am currently drafting my third book, wherein I will return to more purely academic philosophical psychology, on "Theory of Mind in Abnormal Psychology." Education: I have five degrees, two in physics and three in philosophy. Areas of Research / Professional Expertise: Particle physics, Monte Carlo simulation, Nietzsche (especially psychological topics), phenomenology, Theory of Mind, Simulation Theory Personal Interests: I am a bit of an opera fanatic and I often attend wine tastings. I follow current affairs, especially in their economic aspect. I started as a beginner at the London Piano Institute in August 2015 and passed Grade Three in May 2018!

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