Don't Retire...Graduate! The Behavioral Investor: How Our Minds and Emotions Can Ruin Our Investment Portfolios with Dr. Daniel Crosby
Welcome to the season four finale of Don’t Retire... Graduate! We’ve had amazing guests this season and couldn’t be more excited to finish with today’s guest. Dr. Daniel Crosby is a psychologist and behavioral finance expert who helps organizations understand the intersection of mind and markets and explores the way our brains affect our choices when it comes to money. He is here to talk about the way mental biases can affect our decision making and make us uniquely stupid when it comes to money (his words, not ours).
In this episode we’ll talk about:
•Behavioral finance and looking at the role psychology plays in our financial lives
•How people are uniquely stupid when it comes to money and how the brain reacts when thinking about money
•The biases we all can fall victim to that can negatively affect our investments
•Decision making styles applied to money versus everywhere else in our lives
•The performance of Amazon stock over the past twenty years
•Day trading and how active investors tend to underperform
•Action bias, confirmation bias, investing alongside your political party, investing alongside your morals, loss aversion, the house money effect, and mental accounting and how they all affect our financial choices
•The value of a financial advisor versus doing it yourself
•Results of studies on financial advising, including investors working with advisors accumulating far more wealth than those without advisors
•The meaning of the term fiduciary and how it applies to finance and psychology
•Giving up on dreams of professional sports careers
•Positive psychology, PERMA, and Dr. Martin Seligman’s contribution
Visit dontretiregraduate.com for a full transcript of this episode.
About Daniel Crosby
Dr. Daniel Crosby is a psychologist and behavioral finance expert who helps organizations understand the intersection of mind and markets. Dr. Crosby's first book, Personal Benchmark: Integrating Behavioral Finance and Investment Management, was a New York Times bestseller. His second book, The Laws of Wealth, was named the best investment book of 2017 by the Axiom Business Book Awards and has been translated into 7 languages. His latest work, The Behavioral Investor, is a comprehensive look at the neurology, physiology and psychology of sound financial decision-making.
https://www.standarddeviationspod.com
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