Graeme Newell's video: What s the Biggest Money Losing Mistake Ask the Behavioral Finance Advisor

What's the one biggest financial mistake? Time to ask the behavioral finance advisor! Behavioral finance biases can truly influence our financial decision making, leading us to to foolish choices and money losing mistakes. These cognitive biases often distort investing decisions and lead to overconfidence. A lot of people think that when they make investing decisions, they are betting on how a company will perform in the future. Except, that’s not quite true. Behavioral finance biases expert Graeme Newell shows us different types of cognitive biases that show up in our everyday decision making. For example, the illusory correlation bias. This is our brain’s pesky tendency to believe that a random event is caused by another random event. Then there’s the recency bias, the tendency to overvalue information that was recently read. There’s false memory bias, our habit of recalling events that never happened because it fits our narrative. There are almost 200 of these behavioral finance biases with more being uncovered every day that skews up our decision making and recognizing these cognitive biases in decision making helps us understand our behavior when making investing decisions. 🔴 Subscribe for more videos just like this: https://bit.ly/3atitPl About Graeme’s Channel: I’m a researcher, speaker and author who specializes in behavioral finance. I take perverse pleasure in putting people inside of brain scanners, then asking them to make important money decisions. My videos reveal the vulnerable situations when business leaders and everyday people are most likely to make crazy-bad, impulsive money decisions. I teach how to use brain science insights to make smarter decisions that grow businesses and increase wealth. Learn more about how brain science insights can help you make smarter decisions: https://graemenewell.com/