Our quarterly insights educate readers on the processes of human decision making, rational investment behavior, the operation of financial markets, and gaining a better understanding of the world of personal finance. These papers can be read individually, to learn about a specific topic, or chronologically. Read chronologically, these insights also tell a story that evolves along with us, as we encounter new markets, new environments, and gain new insights on dealing with an often irrational world.
With investments down and prices up, the current economic environment can be intimidating. This piece gives us a rational way to think about the current markets operation. Daken Vanderbur, CFA, tells us how some downturns can be healthy in the long run and that we should not let emotion drive our decision making processes.
What do baseball and finance have in common? The two have more similarities than you would expect. For starters, both are a game of innings. In our 3Q-2022 piece, we explore history, our perception of time, and similarities between America's pastime and economics.
Many decisions are laid out in front of us every day. How do we think about these decisions and ultimately pick a course of action? In the Q2-2022 educational piece, we discuss game theory and its application to the financial world, alongside hypothetical thought experiments we can run through by ourselves.
Insight to better frame the Ukraine and Russia turmoil on your portfolio. The article seeks to answer the question "what, as investors, do we do" amidst this crisis. This situation is viewed through three lenses: history, timing, and perspective.
The way humans react to financial market activity, or “changes to” those activities, has a large impact on the market as well. In this quarter’s educational update, we will explore another large part of what makes up a market: human behavior.
How long can bonds carry a negative real yield? Find out about real yields, the relationship between interest rates and bond prices, and more in the Q4-2021 educational update!