Synopsis
From New York Times and USA Today bestselling author, Dr. Daniel Crosby – the behavioral finance book all investors have been waiting for.
In The Laws of Wealth, psychologist and behavioral finance expert Daniel Crosby presents three sets of real, actionable rules that investors can use to apply the lessons of behavioral finance.
He begins with ten rules that are the hallmarks of good investor behavior, including 'Forecasting is for Weathermen', 'If You're Excited, It's Probably a Bad Idea', and 'Trouble is Opportunity'.
From here, attention turns to the Four Cs of Rule-Based Investing: Consistency, Clarity, Courageousness, Conviction. The Four Cs provide practical methods to combat behavioral risk in investing.
And finally, he introduces the Five Ps of successful equity investing: Price, Properties, Pitfalls, People, Push. Investors can draw on these five methods to select stocks and take advantage of behavioral opportunities in the stock market.
Throughout, anecdotes, research, and graphics illustrate the lessons in memorable ways. And in highly valuable 'What now?' summaries at the end of each chapter, Crosby provides clear, concise direction on what to think, ask, and do next to become a better investor.
If you are wondering what years of behavioral finance has delivered for real investors, you should follow the laws of wealth to manage your behavior and improve your investing!
Details
Reviews
“Drawing the connection that what makes us interesting as humans can make us unsuccessful at managing our money in times of turbulence, Dr. Crosby provides a safe haven with his framework for success. This book is not only informative but enjoyable, as he gently exposes how human behavior impacts our decision making.”Noreen D. Beaman, CEO of Brinker Capital, Inc
“Dr. Daniel Crosby is one of the preeminent behavioral psychologists in investing today, and it shows with this tour de force of how an investor can manage their wealth. With these few simple rules, investors can easily build a framework allowing them to thrive, even when their human instincts try to sabotage their investing. Get this book!”Aaron Klein, CEO at Riskalyze
“Using lively and engaging real-life examples Dr. Crosby gives insights into innate human behavior and its role within the financial markets. In this entertaining book he provides brilliant invaluable practical framework for investors, financial professionals and anyone in search of true wealth.”Dr. Svetlana Gherzi, Behavioral Finance Specialist, UBS
“Should be read by all those new to investing.”Jim O'Shaughnessy, Author of What Works on Wall Street
