As an expert in applied decision science and behavioral finance, Greg gives one example after another on how you can design your practice, your process, and your conversations for optimal behavior and better outcomes.

Greg Davies (Twitter and LinkedIn) is the head of behavior at Oxford Risk, where he focuses on improving financial decision making through the use of behavioral science and is the co-author of the book Behavioral Investment Management. Greg works with advisors and planners around the world on how to apply behavioral finance in order to make optimal decisions in the face of complexity, uncertainty and behavioral biases.

What we discuss with Greg:

• The two types of financial plans: One for technical knowledge and one for governing behavior
• How our human bias makes us ill-equipped to handle the suitability process
• How the implementation of technology unlocks your ability to give better advice AND focus more on the human side of the relationship
• The pitfalls of traditional risk tolerance questionnaires
• The importance of nailing the risk assessment with a focus on anxiety-adjusted returns instead of risk-adjusted returns
• The three components of risk assessment: Risk Tolerance, Risk Capacity, and Emotional Capacity and how to incorporate them all
• How to know whether you need to improve your risk assessment process (Hint: there’s a very good chance that you do!)
• Why selling at the bottom is NOT irrational
• The three people Greg would want to listen to at a roundtable discussion on behavior and psychology
• The books he recommends anyone that’s interested in the field of behavior and psychology
• Where he thinks behavioral finance will be within the industry in 2030

For show notes and resources discussed in this episode, visit: www.wiredplanning.com/episode4

To join a community of like-minded advisors and planners looking for insights and information on how to leverage psychology, behavior change, and communication to master the human side of money, visit Wired Planning.

 

Follow Brendan:

Twitter: @jbrendanfrazier

LinkedIn: Brendan Frazier

 

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After a serendipitous sequence of events, we’ve officially changed the name to The Human Side of Money.

New name. Same look. Same mission.

The sole purpose of this podcast is to be the your go-to resource for applying behavioral finance into your practice and mastering the human side of money!

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