Client Guides #Financial Planning & Behavioural Finance


Behavioural finance is the study of the influence of psychology on the behaviour of investors or financial advisers. It also includes the subsequent effects on the markets. It focuses on the fact that investors are not always rational, have limits to their self-control, and are influenced by their own biases. This happens with financial markets and financial planning. Often, people will make an investment decision based on others, without thinking it through. Have you ever known someone that followed a trend without really thinking on their own?

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