Many people without money blame it on everything else except them. This book taps into a number of sciences in a bid to make sense of our investment decisions, bad or good.

From neuroscience and economics, through to psychology, the book combines all these to break down the biology of how our brain comes to its money and investment decisions.

Many people find themselves self-convincing that they know it all even when it comes to investments, which is wrong in most cases.

From exaggerating our performance to overestimating our wisdom on issues of finance, we find ourselves making moves we should have avoided. In trying to be active investors, we make regrettable blunders we could have avoided, according to the book.

It says humans continuously convince themselves about being able to accurately predict the future, however much it has been proven time and again that the future is, indeed, unpredictable.

Magnetic resonance imaging (MRI) scans of the brain show the level of excitement within the brain of a cocaine addict and someone who thinks they are about to make money are the same, implying you may need a good amount of excitement and anticipation to actually make money, too.

Through this book, we get a better understanding of how our brains arrive at decisions, including investment decisions and how we can best turn around that knowledge to make wise investment decisions. One of the interesting findings in this book is the fact that when a routine of success is established, it does not thrill our brains anymore.

That is why human beings tend to take on more risks even in investment in order to get the thrill they got the first time they hit their current success. And when things are going well in investment, according to the book, investors are most likely to take reckless decisions with unfathomable consequences.

Neuroeconomics is what the book’s author, Zweig Jason, termed his inquiry into the decision- making of players in the capital markets as. Subtitled How the new science of Neuroeconomics can make you Rich, the book is more about what to avoid!

One of the irrational biases this book expounds on is the fact that most pension plans see the stocks of their own companies as just like any other average stocks in the market in terms of risk, which is not necessarily true.

In relation, investors tend to look at local stocks within their countries as less risky compared to foreign stocks, which the book relates to man’s adaptation in preferring what is familiar.

Zweig has a detailed neuroscientific explanation for issues to do with fear, risk, and regret, plus probable solutions. Over time, I have come to realize that innovativeness in business is not my thing, yet it is important.

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