8 Examples of “Mental Accounting” and How to Avoid Them
Mental accounting, including the sunk cost fallacy and anchoring, can make mastering your personal finances challenging.
Jay’s latest articles
How Your Personality Type Dictates Your Investing Style
What if I told you a crucial key to your investing success is something you never expected? It’s not a breakthrough stock-picking formula. It’s not a special brokerage account. It’s not a cutting-edge tax shelter. It’s your personality type. Now, bear with me: I’m not talking about astrology, newspaper horoscopes, or those scammy online tests. Those […]
Protect Your Portfolio from Hyperinflation and Depression
Not many investors pay much attention to deflation or hyperinflation — most believe they are black swan events. Like a junk food eater who ignores diabetes because he feels okay right now, we tend to think of devastating, macro-level financial catastrophes in an abstract “out-of-sight-out-of-mind” way . . . until disaster hits our doorstep with total […]
6 “Caveman Instincts” That Threaten Your Portfolio
As a human, there are certain caveman instincts that can make it harder to invest and make money. Here’s how to avoid them.