Many economic and financial frameworks are built around the assumption that humans are, on average, rational decision makers. Deep down, we know this is not true. We know marketers and politicians exploit our emotions. Emotions undoubtedly impede our investment decisions and performance as well.
Research by Thomas Howard and others over the last several decades have provided insights that challenge this assumption of rationality. This section aims to help you reframe various investing concepts and recognize how emotions may be holding back your investments.
Emotions often dominate our decision making.
How can we avoid emotionally driven investment choices?
Reframing investment risk to make you a better investor
Increase your long-term investment performance by reframing the concept of investment risk.