Ep. 262: Terry Burnham Interview with Michael Covel on Trend Following Radio

My guest today is Terry Burnham, an economist who studies the biological and evolutionary basis of human behavior. He has a Ph.D. in Business Economics from Harvard University, a Masters from the MIT Sloan School with a concentration in finance. Terry was a professor at the Harvard Kennedy School, the University of Michigan, and the Harvard Business School. His non-academic experiences include working briefly for Goldman, Sachs & Co., being the chief financial officer for Progenics Pharmaceuticals , a start-up biotechnology company, and being the director of portfolio management for Acadian Asset Management, a quantitative equity manager. The topic is his book Mean Markets and Lizard Brains: How to Profit from the New Science of Irrationality. In this episode of Trend Following Radio we discuss: Burnham removed $1 million from his Bank of America account and said "I don't trust the banks" The two ways to think about risk Separating the ideas of luck and skill The lizard brain and how it relates back to our choices A story about interacting with Paul Tudor Jones Why markets have momentum The great driver of conformity Rationality and irrationality Captive chimps vs. chimps in the wild and the differences in behavior Predicting when the Fed will step in Thinking of the worst case scenario for equities and looking to Japan for an example Negative interest rates Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!