196 results found

We can help retirees build and retain their sense of control by keeping on building trust and educating them, modelling possible outcomes and showing a planned approach – including providing a Plan B.

Richard Dinham | 0.25 CE

A critical part of any retirement plan is a spending plan (which is not the same as a budget). Ultimately, a good spending plan helps keep clients' investments on track.

Tim Farrelly | 0.25 CE

This lecture explores the concept of ethics, contemporary issues in financial services as they relate to ethics, and the relevancy and application of ethics in our everyday lives.

Clare Payne | 1 comment | 2.50 CE

Value investing has proven successful over time but it requires discipline and a long-run horizon - and disagreement remains over whether the value premium will persist. What's your philosophy?

With ever greater participation in superannuation, the accumulated sum held those entering retirement is often significant. But do older people have the cognitive ability and financial acumen to invest effectively?

Ron Bird | 2.00 CE

Despite widespread criticism of the efficient markets hypothesis, development of comparably broad alternatives has been lacking. One promising direction is the adaptive markets hypothesis which seeks apply the concepts and methods of ecology and evolutionary biology to financial market dynamics.

Rob Hamshar | 2.50 CE

Portfolio construction requires precarious navigation in an ever-changing world. Only when we adapt our skillsets and reframe our perspectives can we understand why things are happening and capture upcoming opportunities.

A whole-brain approach to portfolio construction requires a combination of knowledge, skill and expertise across the technical, analytical "fundamental" topics AND the human factors is essential for better quality portfolios.

The theory of cognitive dissonance was proposed in the 1930s by psychologist Leon Festinger. Understanding how cognitive dissonance can bias our investment decision making, and recognising when our behaviour is being driven by it, is vital.

Herman Brodie | 0.75 CE

Prolonged exposure to high volatility causes investors to subsequently underestimate volatility (and vice versa), leading to predictability in stock returns - and the ability to construct a trading strategy that exploits the effect.

Hindsight can be a valuable source of learning. However, hindsight is undermined by a range of factors and hindsight bias clouds judgments in all areas of life - including investing.

Rob Hamshar | 2.00 CE

Classical economists often incorporated human behaviour into their thinking. But in the 1960s and 1970s, homo economicus - the great rational agent of economic theory - was born. It was not until the 1990s that the link between human behaviour and economics began to be re-established. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reviews the evolution of economic thinking, concluding that, with the link between human behaviour and economics being re-established, economics has come full circle.

Herman Brodie | 0.25 CE

How we organise information in our heads, evaluate it, give it weight and then store it in our memories impacts our decisions. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture looks at the concept of the schema, a mental model of the world we use to swiftly understand incoming information.

Herman Brodie | 0.50 CE

The ability of prospect theory to explain many observations in both investing and everyday decision-making made it an incredibly powerful approach in economics. But that wasn't enough to allow it to challenge 'expected utility theory'. To do that it needed to consider the way in which people evaluate probabilities. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reviews prospect theory, the disposition effect, and expected utility theory.

Herman Brodie | 0.50 CE

Cognitive dissonance theory can explain our motivation to seek the information that drives our choices. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reviews the theory of cognitive dissonance and the mental discomfort that results from holding conflicting beliefs, values or attitudes, that can explain our motivation to seek the information that drives our choices.

Herman Brodie | 0.50 CE

Standard finance assumes that economic agents discount the future exponentially - yet the original proponents of Discounted Utility Theory conceded that human beings do not act that way. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reviews what researchers have discovered about intertemporal choice, the process by which people make decisions about what and how much to do at various points in time, when choices at one time influence the possibilities available at other points in time.

Herman Brodie | 0.50 CE

Stopping losses, exposing ourselves to information that goes against our beliefs, not indulging story-tellers, facing hard truths about our past decisions - all these things detract from our comfort. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture provides 10 recommendations for improving investment decision-making, drawing on the learnings from Lectures 1 to 5.

Herman Brodie | 0.25 CE

Two of the most important practical implications of prospect theory in asset pricing are the existence of price momentum, and investors' preferences for skewness in the distribution of returns. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reviews explains why these phenomena persist and practical ways they can be exploited.

Herman Brodie | 1.00 CE

We like to think our beliefs are the result of a long, thoughtful evaluation, the product of carefully curated information and our personal experiences. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture reveals the origins of many of our beliefs, and shows what we can do to make our belief-building more robust.

Herman Brodie | 0.50 CE

When should I retire? Will I be happy? How long will I live? Our responses to questions like these are prone to systematic biases that influence our choices and, ultimately, life satisfaction in retirement. Part of the Finology short course, Behavioural Finance - Investment Decision-Making, this lecture focuses on the behavioural influences on decision making about the transition from the workforce into retirement.

Herman Brodie | 0.50 CE