Emotional Decision-Making can be Irrational
Would you pay $28 for a $20 bill. Some people would. Learn how Behavioral Finance can help us understand why.
“Research shows that there are conditions under which an individual is willing and quite happy to pay $28 for a $20 bill at auction. Some have written about how we can apply Einstein’s theory of relativity to human decision-making processes. The technology now exists to help us analyze the neurocognitive effect of receiving expert financial advice.”
The quote above has been excerpted from the most recent article in a series I am writing along with Robert A. Simon, Ph.D. discussing the application of Behavioral Finance to Financial Decision making processes. These articles are written specifically for the Financial Planning and Advisory community. Please click the picture below to be directed to MorningstarAdvisor.com and read the whole article.
Stay tuned for more information on upcoming articles planned for individuals, families and Family Law practitioners. Feel free to comment on the MorningstarAdvisor.com website.
Justin A. Reckers can be reached at:
Telephone: 858-509-2329E- Mail: jreckers@pacdivorce.com Twitter: www.twitter.com/JustinCFPCDFA LinkedIn: http://www.linkedin.com/in/JustinCFPCDFA Facebook: http://www.facebook.com/Pacific.Divorce.Management
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Our firm does not provide legal or tax advice. Be sure to consult with your own tax and legal advisors before taking any action that would have tax consequences. The information provided herein is obtained from sources believed to be reliable; but no representation or warranty is made as to its accuracy or completeness.
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Tags: Behavioral Finance, Divorce Financial Planning, Financial Life After Divorce, Justin Reckers, Pacific Divorce Management, Post divorce financial planning, post divorce wealth management
This entry was posted on Monday, June 28th, 2010 at 1:26 pm and is filed under Behavioral Finance, Divorce Financial Planning, Morningstar Advisor, Neutral Financial Professional. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.
