3M - Episode 56
from Connecting Dots Hosted by Fixed Cost Financial, Inc. | A True Fiduciary
NOTES 1. What is 3M 2. Meaningful Discussions - Clients 3. Focus, Aware, Ignore 4. Like, Good, Profitable, Control 5. Minting Millionaire, Mature, and Monumental Mindsets 6. Rational and irrational 7. Emotions deeply affect us 8. Emotions dominate some more than others 9. Confirmation bias 10. Looking for validation of existing actions, beliefs, and events 11. Soothe the ego 12. Seeing what we want to see 13. Our moods often govern actions 14. Disconnected from reality 15. Thinking before reacting, the big pause button not a reset button; no resent if you don't do it 16. What is really happening versus what are we feeling 17. Random and chaos cannot exist, people need meaning and order; seeking order at all cost - lockstep mentality 18. Emotions cloud our vision 19. Thaler, Financial Behavioralism, Nobel Prize, We've known this for 40 years 20. Rational investors versus irrational investors 21. Never make a decision under the cloud of strong emotions 22. Deliberative process 23. Imagine and consider all possible consequences 24. Everyone thinks they are rational 25. Rationality is not a born trait, rather it is learned over time, acquired, and needs instruction, training, and practice 26. Think for yourself rather than reacting to what others give you 27. Emotions narrow the mind 28. A wide range of options exist, evaluate the strategie 29. Focus, Aware, Ignore 30. Like, Good, Profitable, Control 31. Minting Millionaire, Mature, and Monumental Mindsets 32. Rational and irrational Anger triggered by a prior, unrelated experience that, from an objective perspective, should not influence our current judgments or decisions can make us unreceptive to what others have to say. In related research, Scott Wiltermuth of the University of Southern California and Larissa Tiedens of Stanford University found that anger triggered by something unrelated to the decision at hand also affects how we evaluate others’ ideas. irrelevant emotions triggered by a completely unrelated event can take us off track. The next time you drink a bitter cup of coffee or have an argument with a loved one, pause to consider how your emotional reactions could linger as you enter into important task or weigh a complex decision. LINKS How to stop your emotions from clouding your financial judgement Don’t Let Emotions Screw Up Your Decisions
Embed this episode
What this episode covers
3M - Episode 56 Paul starts by saying it’s episode 55 but it’s number 56. Opps! NOTES1. What is 3M2. Meaningful Discussions - Clients3. Focus, Aware, Ignore4. Like, Good, Profitable, Control5. Minting Millionaire, Mature, and Monumental Mindsets6. Rational and irrational7. Emotions deeply affect us8. Emotions dominate some more than others9. Confirmation bias10. Looking for validation of existing actions, beliefs, and events11. Soothe the ego12. Seeing what we want to see 13. Our moods often govern actions14. Disconnected from reality15. Thinking before reacting, the big pause button not a reset button; no resent if you don't do it16. What is really happening versus what are we feeling17. Random and chaos cannot exist, people need meaning and order; seeking order at all cost - lockstep mentality18. Emotions cloud our vision19. Thaler, Financial Behavioralism, Nobel Prize, We've known this for 40 years20. Rational investors versus irrational investors21. Never make a decision under the cloud of strong emotions22. Deliberative process23. Imagine and consider all possible consequences24. Everyone thinks they are rational25. Rationality is not a born trait, rather it is learned over time, acquired, and needs instruction, training, and practice26. Think for yourself rather than reacting to what others give you27. Emotions narrow the mind28. A wide range of options exist, evaluate the strategies 29. Focus, Aware, Ignore30. Like, Good, Profitable, Control31. Minting Millionaire, Mature, and Monumental Mindsets32. Rational and irrationalAnger triggered by a prior, unrelated experience that, from an objective perspective, should not influence our current judgments or decisions can make us unreceptive to what others have to say. In related research, Scott Wiltermuth of the University of Southern California and Larissa Tiedens of Stanford University found that anger triggered by something unrelated to the decision at hand also affects how we evaluate others’ ideas. irrelevant emotions triggered by a completely unrelated event can take us off track. The next time you drink a bitter cup of coffee or have an argument with a loved one, pause to consider how your emotional reactions could linger as you enter into important task or weigh a complex decision.Call+1 888-629-7864 If you have an opinion, view, idea, tip, or trick, call and let us know. We will not use your voice from the call without your permission but we do want to hear from you. LINKSHow to stop your emotions from clouding your financial judgementDon’t Let Emotions Screw Up Your DecisionsDots.fm - Bonus ItemsAnchoring BiasRelying on the first piece of information that’s encountered as a reference point (or anchor).Confirmation BiasOur natural tendency is to listen to people who agree with us. It feels good to hear our own opinions reflected back to us.Herding BiasWe are hard-wired to herd. Going against the crowd / non-conformity triggers fear in peopleHindsight BiasPrevents us from recognizing our mistakes. We tend to believe that after something happened, we knew about it all along.Loss AversionInvestors hate losses between 2 and 2.5 times as much as they enjoy equivalent gains.Self-Attribution BiasThe tendency to attribute good outcomes to skill and bad outcomes to sheer luck.
No transcript yet.