My Guest
This week I was thrilled to welcome Dr. Daniel Crosby to the podcast. Dr. Crosby is a behavioural finance expert, the Chief Behavioral Officer at Orion Advisor Solutions, a Psychologist, and a New York Times best-selling author.
He has published four books, including Personal Benchmark: Integrating Behavioral Finance and Investment Management (a New York Times bestseller), The Laws of Wealth (named the best investment book of 2017 by the Axiom Business Book Awards), The Behavioral Investor (Axiom’s best investment book of 2019), and his most recent book, The Soul of Wealth, which weaves together disciplines as seemingly disparate as psychology, philosophy, history, and economics to better understand the intersection of mind and markets.
Daniel was named one of the “12 Thinkers to Watch” by Monster.com, a “Financial Blogger You Should Be Reading” by AARP and a member of InvestmentNews prestigious “40 Under 40”. He is also the host of the Standard Deviations podcast.
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Dr. Daniel Crosby: How our Psychology Impacts our Spending, Investing and Risk Taking Decisions – In The Trenches
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Specific Questions and When They’re Asked
[0:04:11] What is wealth, and how do you define that term currently? How has your definition changed over time?
[0:07:25] How does somebody get closer to discovering their own purpose, and how do we avoid the risk of fooling ourselves or BS-ing ourselves?
[0:13:16] In the context of investing or spending or financial planning, how does the distaste for uncertainty most commonly present itself, and what traps does it lay that we should all be aware of?
[0:19:32] What does the case study of Londoners during World War Two say about our general ability to adapt and persist in spite of objectively troubling things that may happen to us at any given time?
[0:24:28] How does the combination of the arrival fallacy plus hedonic adaptation relate to the importance of playing for the journey, not just the destination, especially for entrepreneurs and CEOs looking at an exit event?
[0:28:28] How do you think about taking risk in your own life and your own career, and do you lean on any particular frameworks or exercises or questions that you ask yourself that we might also lean on when considering taking a calculated risk ourselves?
[0:33:39] How do we know which situation we’re in – should us type A overachievers aim to persist at substantially any cost, or should we be wise enough to know when we’d be better off doing something else entirely?
[0:37:33] Where do we tend to over-complicate the most when it comes to investing or spending or financial planning, and what is with our fascination with complexity?
[0:43:52] What are some of the best or most effective examples you’ve seen of people using money to buy time, and what can we learn from their experiences?
[0:51:20] How can we go about uncovering our own unconscious blueprints that might be coloring our current spending and investing behaviors?
[0:55:34] What is the most meaningful lesson that you have learned over the past 12 months?
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