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Discover how investor psychology and behavioral finance affect your portfolio and your bottom line.
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If you’ve got to take action, boost your savings rate or scout for mispriced securities. And check that your portfolio is in line with your goals.
See More On: Investor Psychology | Markets
A recent study showed that partisan-leaning managers invest about 43% of assets in firms whose executives share the managers’ party affiliation.
See More On: Mutual Funds | Investor Psychology
Economist Robert Shiller predicted runaway home prices and the stock market bubble of the late 1990s. Now he’s writing about the influence of viral narratives.
These sites are designed to steer or coerce people into making unintended decisions.
See More On: Investor Psychology | Technology
Being a snowplow parent who removes obstacles is not the way to raise emotionally healthy, money-smart kids.
See More On: Paying for College | Family Finances
When portfolio managers are buying, they think like business owners. But when they sell, they too often devolve into stock jockeys.
See More On: Stocks & Bonds | Investor Psychology
Normal market cycles can stir up your emotions and push you to invest unwisely, but being aware of your behavioral biases can help you focus on your long-term plan.
Successful savers have prospered by living below their means. Frugality often becomes a preference—sometimes to an excessive degree.
See More On: Investor Psychology | Smart Buying
Researchers discovered that, when it comes to investment fees, diversification efforts can backfire.
See More On: Investor Psychology | Stocks & Bonds
These one-decision investments can teach you to stick with your investing strategy and remain calm no matter what's happening in the markets.
See More On: Mutual Funds | 401(k)s | Saving for Retirement
Objecs that have special meaning to you could be the key to identifying your savings goals.
See More On: Investor Psychology | Saving for Retirement | Saving Money
Some behavioral biases seem tailor-made to foil retirement savers. But their ill effects are smaller for those who are aware of them.
The best defense against a bubble is a well-diversified portfolio. That helps ensure that losses in one sector or asset class won’t sink you overall.
When imagining your financial life, clarity counts. A vague desire for peace of mind might become “I want to have at least $1 million.”
See More On: Investor Psychology | Financial Planning | Stocks & Bonds
When it comes to managing our portfolios, we tend to fall into one of four behavioral types.
If you are taking on more risk than you can emotionally tolerate, you’ll hit the panic button and sell at the
worst possible time.
See More On: Stocks & Bonds | Saving for Retirement
While the stuff we own grows old and obsolete, memories of things we did are often burnished with time.
See More On: Family Finances | Travel