Includes bibliographical references (pages 331-367) and index.
CONTENTS NOTE
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Preface -- Acknowledgments -- About the author -- Introduction -- Foundations: the intersection of mind and money -- Markets on the mind: the challenge of finding an edge -- Brain basics: the building blocks -- Origins of mind: expectations, beliefs, and meaning -- Neurochemistry: this is your brain on drugs -- Feelings and finances -- Intuition: the power of listening to your gut -- Money emotions: clouding judgment -- Joy, hope, and greed: hooked on a feeling -- Overconfidence and hubris: too much of a good thing -- Anxiety, fear, and nervousness: how not to panic -- Stress and burn-out: short term pleasure, long term pain -- Love of risk: are you trading or gambling? -- Personality factors: what are great investors like? -- Thinking about money -- Making decisions: the effects of probability, ambiguity, and trust -- Framing your options: seeing the world in black and white -- Loss aversion: cutting losers short and letting winners run -- Time discounting: why we eat dessert first -- Herding: keeping up with the Jones? -- Charting and data mining: reading tea leaves -- Attention and memory: what's in a name? -- Age, sex, and culture: risk-taking around the world -- In practice -- Emotion management: a balancing act -- Change techniques: going deep -- Behavioral finance investing: playing the players -- Notes -- Glossary -- Index.
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SUMMARY OR ABSTRACT
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"Inside the Investor's Brain provides readers with specific techniques for understanding their financial psychology, so that they can improve their own performance and learn how to outsmart other investors. Chapter by chapter, author Richard Peterson addresses various mental traps and how they play a role in investing. Through examples, such as a gambling experiment with playing cards, the author shows readers how being aware of the subconscious can separate the smart investors from the average ones. This book also contains descriptions of the work of neuroscientists, financial practitioners, and psychologists, offering an expert's view into the mind of the market. Innovative and accessible, Inside the Investor's Brain gives investors the tools they need to better understand how emotions and mental biases affect the way they manage money and react to market moves."--Publisher description.