As a firm, we pride ourselves on the ability to be strong leaders in the lives of our clients. Part of that leadership is understanding and helping you navigate the thinking errors inherent to humans and money. We are all susceptible because we are all human, but having someone else watching for areas where you may be making a wrong turn is one of the best ways not to fall victim.

As part of our expert interview series we recently sat down (via Zoom) with Professor Victor “Vic” Ricciardi to discuss how behavioral finance impacts us on a day-to-day basis especially in light of current events.

Professor Ricciardi is a Visiting Assistant Professor of Finance at Washington and Lee University and the Coordinator of Behavior and Experimental Research at the Social Science Research Network (SSRN). He is a leading expert on the academic literature and emerging research issues in behavioral finance. His research on the psychology of risk (risk perception) and client behavior is highly recognized in behavioral finance. Professor Ricciardi also co-edited the book Investor Behavior: The Psychology of Financial Planning and Investing along with co-authoring Financial Behavior – Players, Services, Products, and Markets published by Oxford University Press in 2017.

Uncertainty, volatility, and emotions are all top of mind in 2020 and heading into 2021. Professor Ricciardi helps shine a light on some of the more common missteps we may see in heightened times such as these.

In the video Professor Ricciardi addresses:

  • What is behavioral finance?
  • Why should investors care about behavioral finance?
  • What are some of the most common cognitive or thinking errors you see negatively impacting investors?
  • What are some of the emotional issues that influence investors, especially in uncertain times?
  • How can investors avoid the most common thinking and emotional pitfalls that can negatively impact their financial goals?

To watch the video ​click here​ or the image below.

Additional Resources:

  • Find a sampling of Professor Ricciardi’s extensive body of research on the Social Science Research Network (SSRN) ​here​.
  • You can find Investor Behavior: The Psychology of Financial Planning and Investing here​.
  • You can find Financial Behavior – Players, Services, Products, and Markets ​here​.