In a fast-paced world where we constantly have to make decisions, understanding the neuroscience behind our choices can be a game-changer, especially in finance and investing. In my recent discussion, I sat down with Gladys Kali, a neuroscience expert from Barcelona, to explore how our brains influence our financial habits and the importance of aligning our investments with personal goals.
The Emotional Brain in Financial Decisions
Gladys explains that our financial decisions are largely emotional, driven by subconscious desires and fears. She highlights the common pitfall of FOMO (fear of missing out) and how it can lead to impulsive investments, like buying Bitcoin because everyone else is doing it. Understanding these emotional triggers is crucial for making informed decisions.
Mindset and Continuous Learning
The conversation delves into the significance of mindset in investing. Gladys emphasizes that while financial knowledge is important, understanding human behavior and emotions is key. She advocates for continuous learning and adaptation, especially in a rapidly changing world where AI and new technologies are reshaping industries.
Managing Fear and Desire
Gladys shares strategies for managing fear and desire in financial decisions. She suggests setting clear goals and finding a balance between short-term motivations and long-term aspirations. By focusing on what truly matters, individuals can make more confident and informed investment choices.
Choosing the Right Environment
You are the average of the 5 people that surround you. This quote really struck me and made me rethink. Gladys even mentioned that she would not hire Warren Buffett as a life coach and would prefer to surround herself with people who share her values and inspire her. If someone lacks the environment to talk about finance and investing, she recommends buying a course and joining a community like INVESTLING – Lifelong Earning.
Conclusion
As the discussion wraps up, Georg and Gladys reflect on the importance of taking responsibility for one's financial education and decisions. They encourage listeners to embrace change, seek knowledge, and understand the emotional aspects of investing to achieve financial success.
