FIRE Wealth Academy
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Advanced · Behavior

Investor Psychology

The biases that cost you money, and the checklist that stops them before you trade.

You know how to value a company, read a chart, price a bond. This course does not hand you another tool — it looks at the person using them. Analytical skill is no immunity against bias, because bias operates automatically, before analysis gets a chance to intervene. You follow Irene as her own biases act on her real portfolio: a winner, a loser with deteriorating fundamentals, and a passing temptation that climbs 180% and then collapses. Intermediate level, and universal: psychology does not change from one country to another.

What you'll learn

  • Tell System 1 from System 2 when deciding under pressure
  • Measure loss aversion and the disposition effect in your portfolio
  • Quantify what overconfidence costs when you overtrade
  • Catch confirmation bias, herding and FOMO in real time
  • Recognize anchoring, recency, and the sunk cost fallacy
  • Apply a five-question checklist before every trade

Course content

  1. System 1 and System 2
  2. Loss aversion
  3. The disposition effect
  4. Overconfidence
  5. Confirmation bias
  6. Herd behavior and FOMO
  7. Anchoring and recency bias
  8. The sunk cost fallacy
  9. Synthesis: a checklist to rein in bias
Guided by Luz & Niebla