Welcome to:Behavioral Economics

Investing in the age of Covid-19

Our Moderators today:

Barry LaValleyRight-Brain Adviser

Dr. Gillian LeithmanRewire to Retire

Some caveats before we start…

• Not an investment or investment advice seminar

• We are not going to teach a behavioral finance course!

• Our focus is on your client and you

• Our goal is to help you understand the mind of your client

• Note: all images licensed through Shutterstock

We feel your pain…

How do our brains work?

Understanding our brains

• Rational decision-making

• Crisis decision-making

• Stress hormones

• Think fast…think slow

Pay attention to these behavioral biases

Biases to remember…

Ambiguity

Confirmation

Regret

Illusion of control

Attribution

Representativeness

How can we mitigate client biases?

Helping our clients…

Emotional vs cognitiveNudgingAnticipatingReframingFocusing on non-financial goals

From adviser to coach…

Key concepts…

The changing role of the adviserWhy people need coaching todayWhat do coaches do?From a brain science perspective, what is the value of being a coach?

The way forward…