A blog about college, investing, cooking, psychology, saving money and general life concepts.
Are You Overestimating a Stock Because You Like One Thing About It? Imagine you admire a CEO’s vision, love a company’s brand, or think its products are top-tier. Because of this one positive trait, you assume the stock must be a great investment. But is it? This is the halo effect in action, when one... Continue Reading →
Are You Stuck on the Price You Paid? You bought a stock at $100 per share. It drops to $70, and instead of cutting your losses or reassessing the investment, you tell yourself: “I’ll sell when it gets back to $100.” Sound familiar? That’s anchoring bias in action. Anchoring bias is a cognitive trap where... Continue Reading →
Investing or Gambling? Would you walk into a casino and put your life savings on black? Probably not. Yet, millions of investors do something eerily similar in the stock market, chasing high-risk, speculative stocks in hopes of striking it rich overnight. This is the lottery mindset in investing, the belief that the stock market is... Continue Reading →
The Fear of Missing Out on the Next Big Thing You hear it everywhere: “This is a once-in-a-lifetime stock opportunity!” Social media, financial news, and even friends will tell you that if you don’t invest in this one stock right now, you’ll regret it forever. Whether it’s a hot tech startup, the latest AI revolution,... Continue Reading →
Are You Too Attached to Your Stocks? Imagine spending weeks researching a stock, diving into financial reports, watching expert interviews, and analyzing every detail. You finally hit the “Buy” button and feel a rush of confidence, you’ve made an informed choice. But months later, despite warning signs and a declining stock price, you refuse to... Continue Reading →
Why Investors Favor What They Know Have you ever invested in a company just because you love its products? Maybe you stocked up on Apple shares because you use an iPhone or grabbed some Starbucks stock because you can’t start your day without a Venti latte. If so, you’ve experienced familiarity bias, a common behavioral... Continue Reading →
I Used to Know Some… Well, Maybe a Few I’ve known plenty of people who made way more money than I did, $50,000 a year or more, while I was scraping by on a low income. And yet, despite drowning in debt, they somehow thought they were better with money than I was. To them,... Continue Reading →
The Endowment Effect is one of those sneaky psychological biases that influences how we handle money—whether we’re hoarding old clothes, refusing to sell a losing stock, or holding onto cash like it’s our last lifeline. But here’s the twist: while this bias can hurt your finances, it can also be harnessed to build wealth if... Continue Reading →
Growing up, there was a time when we had a bit of money. My dad was a pharmacist, but there were seven people in the home, so six figures didn’t stretch far, as you can imagine. We weren’t exactly hurting, but that changed when he got sick, and my mom went back to school to... Continue Reading →
Most people assume that millionaires drive luxury cars, live in giant houses, and spend like there’s no tomorrow. But the Millionaire Next Door type? They blend in. They live below their means, accumulate wealth quietly, and apply principles of behavioral finance to money decisions—sometimes without even realizing it. Here’s how secret millionaires use behavioral finance... Continue Reading →
The Broke College Student 