Over the last few weeks, I’ve written about several cognitive biases. Cognitive biases are mental shortcuts we all use, but if we’re not careful, they can lead us astray. This is undoubtedly the case when… Read More
Cognitive Biases Part 2: Anchoring and Recency Bias
In my previous post, I began writing about cognitive biases. There are a number of cognitive biases that come into play in investing. The first one we examined in the post here was confirmation bias…. Read More
Confirmation Bias: A Shortcut in the Wrong Direction
Years ago, one of the first courses I took in college was introduction to cognition, or the science of human thought. A key concept that stuck with me long after the course, was the idea… Read More
Wall Street Slump: Your Checklist for When the Market Heads South
An old rule of thumb when it comes to investing is that markets drop more quickly than they rise. Panic strikes suddenly, but optimism creeps in over time. That leads to situations like the most… Read More
Know Thyself, Then Plan
When I first began working as a financial advisor, I was convinced the correct answers were in the numbers. Put together a plan, determine a savings rate, hang on through the ups and downs of… Read More
Advice from a Recovering Know-it-All
Years ago, my girlfriend – and now wife – pointed out that from time-to-time, I could come across as a bit of a know-it-all. I asked for a few examples which she had helpfully cataloged, and… Read More