In the paper we developed a new paradigm to investigate how external feedback and local decision confidence relate to global self-performance estimates (SPEs) , and whether local fluctuations in decision confidence inform SPEs when external feedback is unavailable. We showed that fluctuations in confidence contribute to global SPEs over and above effects of objective performance and reaction times. Surprisingly, we found that humans tend to underestimate their performance in the absence of feedback, compared with a condition with full feedback, despite objective performance being similar in the two cases. We hope that study of global self-beliefs formation will advance our understanding of self-efficacy distortion in psychiatric disorders.