AuthorPhil

Nine Things that Happen to Investors When Volatility Increases

When prices correct in the stock market and volatility increases, investors tend to veer off course in a bunch of ways. Here’s a list of nine things that happen to investors when price volatility increases. 1. Emotional Volatility Increases – Investors are a little irrational even during periods of relative calm. That’s the behavior gap. But during periods of increased price...

CTN: THE Cognitive Triangle and Behavioral Finance

The CTN is a comprehensive investor experience model that integrates components of behavioral finance with Aaron Beck’s Cognitive Therapy via clinical psychology. This is a work in progress on this blog and you can read more about it here. The Cognitive Triangle is a critical structural component of Beck’s clinical model. It includes three modes of experience – thoughts...

Digital Intermittent Fasting

If you are an alcoholic and decide to take a one month “alcohol fast” is that going to help? Even if you’re successful for the month, once you start drinking again, you’ve relapsed and your functioning will begin to deteriorate. This is why the extended digital or social media fasts people take may not be the best thing for many, especially for those who need to control...

Do Not Eat Shit Out of a Box

A new breakfast cereal is launching called Twinkies Cereal. Here’s a photo of the box. There are two reasons this cereal is coming to market.  First, processed food conglomerates believe some will buy this for their children who will consume it like junkies in a den.  Second, parents who are rightly horrified, will judge other cereals better by comparison.  Rest assured, that other...

The Greatest value investment of all time

There is one value investment that generates massive gains while remaining immune to market cycles, bubbles, fads, crashes, rates or the economy. It is relentlessly undervalued and, judging by the obesity secular bull market that continues longer than the great bond bull, shows few signs of trading at a premium anytime soon. The trend is not your friend. I am talking about good nutrition –...

The Soaring Twenties

A new decade begins in a couple months. Sure, take time to reflect on your life and the Teens that are ending but don’t spend too much energy there. What’s past is done. Next… Instead, think about the next decade and begin visualizing your potential reality. What will make you happy? Who do you aspire to be? What can you accomplish? What do you give up finally or avoid? You can...

Bullish Price Behavior Coupled with Negative Sentiment

I love doing these podcasts with JC. We do these phone calls all the time anyway and so when he tapes them, its just a new dimension that allows others to eavesdrop and reply if they’d like via social or email. We’ve been doing shorter ones too which I like better. I can’t listen to the 90 minute podcasts and I have nothing to say that takes that long. Here JC and I talk about...

I finally FIGURED out why Halloween Has always been my favorite holiday

When I was a kid I thought it was just the candy and hijinks. Maybe it was then, but now it’s much more… We’re a culture that avoids the reality of aging and death. From the collective perception of youthfulness as beauty to the ascendance of plastic surgery and Botox to the massive healthcare spending on maximal therapies for those who have lived long and full lives, we want to...