Quick question: Would it be easier for you to save 20% of your monthly income, or to live on 80% of your monthly income? In case you answered, “Save 20%,” you are just average (sorry for being so blunt) and might be…
It’s the time of the year again where we start out with a bag full of New Year’s Resolutions and than slowly … one by one … fail to execute them. Do you happen to have set the resolution to…
Had a chat with my sons. I thought at their age of 20 and 18 (soon) it is about time for some real adult talk. So I asked them whether they’d prefer wisdom or gold. The unanimous answer was gold.…
… see what others are spending. And that is a problem. Due to our envy bias we do pay more attention to how our friends and neighbours spend compared to how they save. Well, comparing with friends might be a…
My apologies, in case I puzzled you, but we do love our acronyms here in Singapore. I have mentioned the PFC previously under the “Framing Bias” but to expound further, the PFC is your Prefrontal Cortex; a brain region that lies…
Why do we consciously do things which we genuinely know are not beneficial to us? A non-financial example includes smoking cigarettes (we know we shouldn’t, but many do anyway), while a financial example includes not living within our means, or saving up for a…
Are you a stock picker? May I ask why? What makes you think that you can outsmart full-day traders and the professionals? What is your edge over them? You might no longer have an edge in calculating ratios or analysing…
No, not really. Finance is a simple industry made to look and sound complicated to justify fees. Just one example, active managers love to confuse us by using Greek words. Like – alpha – to describe what other industries call…
Having realized that I have not written anything on the topic of our (us guys) favourite toy—the car—(or has the smartphone already overtaken that position?) I feel quite a drive to change that. Having said that, do you recall that it was only about 10…
Number 1: The age you start saving The younger you are the larger your crucial asset. That asset is called time. And I bet you have more of it left than me. I certainly do have more Christmas days behind…