A client's mental time horizon — how far into the future they think about their finances — can affect how much they save and their overall financial health.
Client risk profiles can be messy and complex, and even the language is confusing. Here are guidelines advisers can use to properly vet the tools they use to create client risk profiles.
Understanding what a company does can skew our perceptions of the risk of investing in the company.
By failing to adequately explain how inflation, compounded over time, significantly reduces our spending power, we leave clients vulnerable to the false assumption that the income they have today will still be adequate in 10 or 20 years.
Sludge is like an anti-nudge: Rather than removing friction to make a choice simpler, sludge adds friction or complexity to the customer journey for the purpose of entrapping or upselling consumers.
To help your clients make sound long-term decisions they can live and thrive with, work with them to think through options that will harmonize their financial and emotional lives.
By taking stock of what clients got right in this very weird year, you can set the stage for a strong start in the New Year
Investing amid this year’s turmoil requires mentally fast-forwarding to see what long-term trends may emerge as a result of the crises
Once we're conscious of the stories we’re working with, we’re in a better position to question, and if necessary, rewrite them
Financial therapists can help people to understand their own perspectives, values, hopes and fears
