Markovitz wasn't a robot either
I always thought that the likes of Markowitz must have been cold blooded, dissociated people who really thought people are easily predictable.
😯😯Read this is quote from him though:
I should have computed the historical covariance of the asset classes and drawn an efficient frontier. Instead I visualized my grief if the stock market went way up and I wasn't in it-or if it went way down and I was completely in it. My intention was to minimise my future regret. So I split my contributions 50/50 between bonds and equities. 😬😬
😬It's needles to say that this goes against everything he had developed through his research.
❗And yet is important we come to terms with the fact that we are humans.
❗We CAN be predictable in our behaviour only if we reckon when we are likely not to be in control of our emotions.
📌Once we accept this we can equip ourselves with strategies for learning from emotions, behaviours and managing them.
Indeed, behaviour modelling allowed the founders of Neuro lingvistic programming to develop specific tools for changing our behaviour in order to get the results we want.
❗NLP demystified human behavior.
📉I learnt financial modelling more than 15 years ago.
🙄I wish I had learnt behaviour modelling as yearly as that .
What helps you in behaving rationally..whatever that means🙃?
❓How do you put to practice your technical knowledge?
What role do your (possible) regrets play in your decisions?
How do you deal with fears?