I've been a fan of behavioral finance for a long time and I've often argued that it offers important lessons for Corporate America. I've had mixed success in those discussions, partly because it sounds to some like just an academic pursuit. The very phrase behavioral finance does little to warm the heart. (And for you advocates, behavioral economics is no better in that regard.)

But the ideas behind that phrase resonate. People make decisions continually and many of them aren't sound. The notion that an advisor needs to understand people and motivations as much as numbers and investments is an idea whose time has come.

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