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The panel included: Dr. Daniel Crosby: President at Nocturne Capital; Rod Griffin: Director of Public Education at Experian and Mike Delgado: Director of Social Media & Community Engagement at Experian.
We’re also featuring investing tips all week on Snapchat — including the “The 5 Rules for Investing (Pokemon Style)“
In The Laws of Wealth, psychologist and behavioral finance expert Dr. Daniel Crosby shares actionable advice (based on research) on ways to invest and manage your wealth. Here are a few investing tips Dr. Crosby shares:
“Emotion impacts our perception of everything, including time, risk and appropriate price… an excited investor is an impatient investor and an impatient investor is a broke investor.”
“No one knows which asset classes will do well at any given time and diversification is the only logical response to such uncertainty… In fact, a broad diversification and rebalancing have been shown to add half a percentage point of performance per year…”
“Our brains long for forecasts…[but we] must scrupulously avoid conjecture about the future, [and] rely on systems rather than biased human judgement and be diversified enough to show appropriate humility.” We can’t know everything.
“Research shows that goal-based investors are more likely to stay the course during tough times and even save at higher rates… Worry less about the economy and more about your economy.”
“Receiving good financial advice pays a dividend that builds both wealth and confidence… Vanguard’s ‘Advisor’s Alpha’ study shows that working with an advisor provides around 3 percentage points of out-performance — and that fully half that value comes from behavioral coaching.” Learn more by reading Dr. Daniel Crosby’s latest book, “The Laws of Wealth: Psychology and the Secret to Investing Success.”
If you’ve never heard about #CreditChat, here is a brief overview:
The Only 8 Rules of Investing You Need to Know via @Wisebread