Why Smart People Do Dumb Stuff With Money
Submitted by WWA Planning & Investments on April 26th, 2021Why do we make dumb money mistakes? The easy answer is that we can’t help ourselves. We are evolutionarily programed to take shortcuts. Our brain is wired to be expedient. Expediency is not always rational.
This irrational behavior is the underpinning of behavioral finance, the study of the influence of psychology on the behavior of investors.