Behavioral Finance 101

Anastasia and Bill cover the psychology of investing aka behavioral finance. Anastasia explains how behavioral finance differs from traditional finance, and Modern Portfolio Theory, before diving into a discussion of common biases and how they can affect individual investors' decisions. Why is it important to be aware of potential biases? Bill relates several biases to what he has seen in his career and offers advice for investors. Anastasia talks about credit card points and why you should be aware of mental accounting. To submit questions to the podcast or send comments on current episodes, you can email us at [email protected].