INTRODUCTION: THE PATH OF LEAST RESISTANCE
CHAPTER 1: MAKING SENSE OF WHAT YOU SEE
Anchoring: An Invisible Hand
Representativeness: If it Walks Like a Duck
Money Illusion: The Rule of 72 and the Risk of Inflation
Recency Effect: A Clear and Present Danger
Reversion to the Mean: That Makes Sense but Doesn't Answer Anything
Availability Bias and Distortion: Overestimating What You Can Easily Recall
Familiarity Bias: Recognizing a Stranger
Proportional Money Effect: Why We Save Pennies Only to Neglect Dollars
Mental Accounting: Pigeonholing Money
Endowment Effect: Loyalty Reward Points are Not Free Money
Status Quo Bias: The Influence of Inertia
CHAPTER 2: CONTROLLING RISK
Conservativism: Close but No Cigar
Gambler's Fallacy: Heads or Tails?
Possibility and Certainty Effect: A Bird in the Hand is Worth Two in the Bush
House Money and Break-Even Effect: What Just Happened?
Disposition Effect: The Worst Time to Lock in a Profit
Loss Aversion and False Risk Control: Anti Up!
CHAPTER 3: WANTING TO BE RIGHT
Overconfidence: We All Can't Be Above Average
Hindsight Bias is Convincing: I knew it!
Cognitive Dissonance: The Grapes Were Sour Anyway
Confirmation Bias: Buying and Selling a Boat
Availability Bias, Recency Effect and Real Estate: House Prices Always Rise, Right?
Sunk Cost: Why Camping Seems Affordable
Barnum and Forer Effect: A Fool is Born Every Minute
Loss Aversion Undermines Your Beliefs: Trading Money for Sleep
Herd Mentality: Consensus Hurts Performance
CHAPTER 4: DEVELOPING YOUR PERSONAL ECONOMIC VALUES
Why Commit to the Eight Steps?
Personal Economic Values Workbook
CHAPTER 5: ADOPTING UNBIASED HABITS
The Point of Impact
Don't Take it Personally
Quantify your returns
Keep a Journal of Investment Decisions
The Power of SMT
Negotiations
Just Pick One
Automate, Outsource, and Schedule
Stop Checking Your Investments
Establish Investment Constraints
Reframing Decisions
No Safety in Numbers
Money Doesn't Care Where It Came From
Craft Your Personal Investment Policy Statement
I Knew-It-All-the-Time
Cut Your Losses
Trees Don't Reach the Sky
In the Absence of Research
Be Average
The Unbiased Habit Checklist
CHAPTER 6: WHAT AN INVESTMENT ADVISOR CANNOT DO
The Bottom Line
Bull Markets and DIY
Is Passive Investing a Silver Bullet?
Intuition
Avoiding Hindsight Bias with Training
When to Trust Expert Investment Advice
Know What You Don't Know
Bias Resistance
Portfolio Abandonment
CHAPTER 7: CAN MONEY BUY YOU HAPPINESS?
Happiness, Work, and Retirement
Happiness and Spending Money
Happiness and Gluttony
Health, Happiness, and Your Money
How Much is Enough?