I listen to Ramit's podcast as soon as it comes out. As soon as I listen to the podcast, I go to the YouTube comments for some added entertainment. It's my guilty pleasure. I love the psychology behind people's different relationship with money. It's so fascinating.
I think it is one of the most overlooked areas of personal finance. Before I became an advisor, I was really interested in behavioral finance and how that influenced investing. I read several books and even wrote a paper on it for a class. I was still shocked how difficult it was for clients to deal with money. Being an advisor is only partly math and investing, mostly it is financial counseling. And most people aren't trained on how to do that. Including me.
Really interesting. I know everyone feels that we need more "budgeting" and "personal finance" around money in school, but I see it a bit different. I do think it would help but honestly I think there should be way more focused on our different executive functions and how we can manage them. You ask anyone if buying a new car is a smart purchase (say vs buying a car that is 2 years old. They will answer correctly 9/10 times. Just like dieting. We all know McDonald's is bad, yet we all still eat there. lol. It's not information that is lacking. Anyway, that's my rant. Great post.
I listen to Ramit's podcast as soon as it comes out. As soon as I listen to the podcast, I go to the YouTube comments for some added entertainment. It's my guilty pleasure. I love the psychology behind people's different relationship with money. It's so fascinating.
I think it is one of the most overlooked areas of personal finance. Before I became an advisor, I was really interested in behavioral finance and how that influenced investing. I read several books and even wrote a paper on it for a class. I was still shocked how difficult it was for clients to deal with money. Being an advisor is only partly math and investing, mostly it is financial counseling. And most people aren't trained on how to do that. Including me.
Really interesting. I know everyone feels that we need more "budgeting" and "personal finance" around money in school, but I see it a bit different. I do think it would help but honestly I think there should be way more focused on our different executive functions and how we can manage them. You ask anyone if buying a new car is a smart purchase (say vs buying a car that is 2 years old. They will answer correctly 9/10 times. Just like dieting. We all know McDonald's is bad, yet we all still eat there. lol. It's not information that is lacking. Anyway, that's my rant. Great post.