HONOLULU (HawaiiNewsNow) - Barry Ritholtz, who does the blog "The Big Picture," recently gave a lecture to an MIT conference on how investors misunderstand risk. The heart of the lecture was a chart with a bunch of circles above and below a horizontal line. The circles above the line show perception of risk. Circles below the line show actual risk based on statistical fact. Generally, it shows we worry about what's in the news, and especially stories we open with, even if other things that don't lead the newscasts are more likely to affect you. The first one is plane crash. Public concern about plane crashes is great, But the actual hazard to you is small. The same goes for mobile phones, terrorist attack, gun crime, bird flu, and stock portfolio crash. But the actual hazard is greater than public concern about heat, credit card fraud, pedestrian accident, cancer, and heart trouble.