Major financial decisions and financial situations on their own, tend to be very emotional and tend to bring out the emotional sides of us and make us fearful, greedy, hopeful. Which part of our bodies do we use? We know that financial matters and major financial decisions make us emotional. If we can consciously move the decision making process from our emotional self and build that up to our cognitive, rational self, in our mind. Then we’re doing something smart because emotions are proven to be hugely unreliable when it comes to making major financial decisions. Instead, logic and rational in the cognitive part of our body, our brain, tend to be extremely reliable. So we need to recognize this and realize it. This is something I do for my clients.

-D. Scott Bloom, CFP®