Tuesday, November 08, 2016

Working With the Emotional Investor

The book, Working with the Emotional Investor: Financial Psychology for Wealth Managers, is an interesting book by Chris White, which is targeted to investment advisors and financial planners to help them deal with clients who let their emotions determine their investment decisions.

 Most clients are afraid when the stock market drops, and want to bail out. However, selling after the market has dropped is generally the worst possible time to sell.

 White brings the psychology of investing and money into the advisor / client relationship. He breaks clients down into three different types:
  • Fixers
  • Survivors
  • Protectors
He goes into detail about each of the client types, their characteristics and indicators, their emotions, and how understand them and work with them. Real life examples are incorporated. If you are a wealth advisor, you will find  Working with the Emotional Investor an informative read.

No comments: