Brandon (00:01)
Hello and welcome to the Guernsey Finance podcast, where we bring you interviews with leaders from the global finance industry, as well as news and developments from Guernsey's financial services sector. My name is Brandon Ashplant and I'm technical manager, funds and private wealth here at Guernsey Finance. Guernsey is a leading global finance centre. The success of the industry here is underpinned by economic substance, political stability and asset security. And we are committed
to the cause of sustainable finance. To find out more about Guernsey's success in sustainable finance, tune into our sister podcast, the Sustainable Finance Guernsey podcast. Today, I am delighted to be joined by Alexander Joshi, Head of Behavioral Finance at Barclays Private Bank. Alex is an expert in the psychology of investing and leverages insights from behavioral finance, which studies how psychological
social, cognitive and emotional factors influence investment decision making. In his global role, he assists high net worth individuals and their families from a behavioral and emotional perspective on their investment decision making over the course of the market cycle, supporting them to reach their their long-term goals of protecting and growing their existing wealth. He has integrated this into Barclays
private bank wealth management philosophy so that the organisation as a whole can better understand and support every client with their individual needs. Prior to joining Barclays in 2017, Alex worked at a behavioral economics consultancy, designing behavioral experiments to help clients understand consumer decision-making, particularly in retail finance.
Alex holds a master of philosophy in economics from the University of Cambridge. On this episode, we'll be discussing behavioral finance, the evolving nature of first generation wealth creators and the mindset of inheritors. So without further ado, welcome Alex.
AJ (02:05)
Thanks very much, thanks for having me.
Brandon (02:08)
Brilliant. So firstly, just tell us a bit about yourself and your career to date for those who don't know. I as you've certainly developed a bit of a niche in the sort of specialist area of behavioural finance.
AJ (02:20)
So, I am very much driven personally by a desire to be a better person, to make the most of my potential, to make good decisions across the different domains of life. And so that drives me very much in the sense of trying to help people to make better decisions. ⁓ And I studied economics and I very, very quickly on had this feeling that if you're studying economics and you're studying the way that...
individuals, companies, government, societies make decisions, you are missing something if you're not thinking about the psychology of those individuals, if you're not thinking about the emotions that underpin decision making. Because as we all know, as human beings, as we go about our lives, we have our own biases, emotions affect much of what we do. And I always kind of felt like we're missing something if we didn't bring that together. So I was quite lucky, I guess, that very early on, before even beginning my degree, I already had this idea that behavioral economics, behavioral science was a sort of
direction that I wanted to go in. I studied in an undergraduate in economics with a behavioral specialism. ⁓ I was going to study a master's in psychology, ⁓ but I got the offer from Cambridge to do an economics master's, which couldn't really turn down. So I did that again, but again with the specialism in behavioral economics, behavioral finance, ⁓ and spent two years, as you said, that consultancy, very much trying to help consumers understand
the decision-making, you know, understand clients, them understand the consumer decision-making process. You know, the clients would come to us and say, in this market, we think that consumers maybe don't fully understand their information that they're being given. They might not be making the best decisions. So that was a real good experience in really getting into the weeds of behavior, doing lots of research there to understand that. And then as you said, it's been eight or so years now at Barclays Private Bank in this role,
in behavioral finance. And for me, it was the sort of natural direction that I wanted to go in because I think that the decisions that you make about personal finance around investing have a huge impact on the quality of your life, not just now, but across the whole of your life. And so I always felt that that was going to be very important application of the behavioral science. so that's what I've been up to for this last eight years or so.
Brandon (04:42)
I think our listeners will be incredibly interested to understand a little bit more about what behavioral finance entails. Can you give us an overview of what behavioral finance is and how this is applied in your role at Barclays?
AJ (04:56)
Yeah, sure. So, you know, as you said there in the the bio, you know, bringing together the psychological, social, cognitive and emotional factors that influence the decisions of investors. And we leverage these insights in what we do, because we believe that it gives us a better insight into how investors think, feel, and act over the course of an investment journey. And if you've got that understanding, if you've got that insight about the way that investors behave, well, in theory,
it should lead to better outcomes for investors. And now that could be in terms of greater composure, greater satisfaction with being on the investment journey, being able to sleep better at night. But also it could mean better outcomes in terms of investment returns by making better investment decisions. As I said, we've all got behavioral biases that impact on our decisions. And many of those biases can in the background,
no way on the returns of investors, you little things trying to time the market coming in and out, etc, you know, leaving returns on the table. So by bringing this this insight, this should lead to better outcomes for foreign for investors. Now, practically, what does that actually mean? You know, day to day, I will spend my time, obviously, with the end investors, with our clients and speaking to them one on one and larger audiences at events, etc. But also I spend
a fair amount of time internally talking to our advisors to help them also to have better conversations with our clients. So on the whole, it's trying to get this better, deeper understanding about our clients.
Brandon (06:34)
You recently spoke at the, very recently spoke at the Guernsey ⁓ Private Wealth Forum where the topic of enabling entrepreneurs was a key theme. The event highlighted Guernsey's track record of more than 50 years in the private wealth industry and as a jurisdiction that embraces and supports first generation wealth creators. How important is understanding the psychology of the wealth creator before advising them? know, can it...
provide an additional layer of certainty for the wealth created to know that you've got that sort of psychological understanding.
AJ (07:07)
Yeah, I think it's extremely important because I think psychology will end up becoming a very significant determinant of how well someone does when it comes to protecting and growing their wealth in the latter stages. So the more that you know about these people in the initial stages when they're creating that wealth, the better it's going to be for both parties, I think. so now I sit within our investments business, so I'm kind of looking through the lens of investments and what someone's going to be like on
on that journey. So when I am looking at someone in the earlier stages, when they're creating wealth, etc. I'm going to be trying to look at, you know, how do they view risk and return primarily in the sense of, know, how comfortable are they taking risk? How interestingly, like how do they deal with uncertainty more so than risk? Because obviously that's a big part of how investors kind of feel when you've got market volatility and uncertainty, which is very elevated at the moment. Also how you think about return
is also going to be very important, especially if you are, as we spoke about at the forum earlier this week, if you're in some of these industries where you're accumulating wealth at a very rapid pace at a very early stage in your life, well, obviously, that's going to impact what you think is good returns, etc, what's possible later on. I think also the way that people make decisions is going to be very important. And that's why it's important to understand that at the earlier stage. If you are someone that is
very comfortable making your own decisions, going sort of on gut feel, taking a lot of responsibility for decision making. Well, think about later on down the line when it comes to delegating, for example, investment management to an external party. How are you going to feel about that? How are you going to feel about potentially making slower decisions with a longer term sort of lens? And also the way that you communicate, I think is also going to be very important. And I think that's why it's important to understand that at the earlier stage,
because a lot of the issues, the success, etc, is gonna come down to the communication around the journey, the plan, the goals, how to get there, etc. So I think having a good understanding of this early on makes things a lot easier later on.
Brandon (09:16)
And just switching gears slightly, but what were your highlights from the Guernsey Private Wealth Forum?
AJ (09:23)
So I think the forum we spoke about, younger wealth creators in some of these new industries. And I think for me, the key takeaway was that this is very complex cohort of clients to be working with because they're doing things in a different way, accumulating wealth at a younger age in new industries, etc. And so the key takeaway for me was the importance of having a very good team around these people.
For example, on the panel that I spoke on, I had someone talking about reputation management and what happens if someone gets canceled, etc. That is something that I hadn't really thought about very much until we were on the forum where I'm thinking to myself, yeah, if you're perpetually online, the risk of some of these things is far more elevated. And so that's going to be something that needs to be thought about. it's not just the traditional, the tax person, the investment person, etc . You've got to think about a lot more people and have a...
have a strong team around that individual that actually really understands the intricacies of them.
Brandon (10:28)
Definitely. And when working with first generation wealth creators, particularly those that have sort of developed their wealth in those new and emerging industries where there's not much sort of, guess, forethought necessarily, know, hindsight's a great thing. What are the main behavioral considerations that advisors should have in mind when working with these sorts of new wealth creators?
AJ (10:50)
Yeah, I think, you know, as from a behavioral perspective, human beings, very, we're very bad at envisaging our future self. So, you know, we think very much about today, we extrapolate today out to the future. So it's very difficult. So, you know, you hear very much about people that struggle with the idea of saving for retirement, etc , because it's very difficult to envisage yourself if you're in your mid twenties, how can you really imagine what life is going to be like when you're in your mid sixties, for example, So I think
I think anyone that is advising someone that is creating wealth at a young age needs to recognise that actually they've got a very different perspective on things from the type of clients that you might be traditionally used to dealing with. And so I think that has great opportunities. For example, you've got more time on your side that makes the investment decisions, etc , easier. But then also that comes with downsides in the sense of It becomes more difficult to
have a conversation about diversification and patience and time in the market because in many cases, some of these core concepts which are extremely important for long-term thinking, well actually, many of these clients have done the direct opposite to great success. They've gone all in, they've taken big risks, they've narrowed down, etc, and it's paid off very well. So it's gonna be very difficult to say, if someone's done this, to say actually now we need to completely change the approach
because what you've done here is not going to be very helpful for the long term. That can be quite alienating, right? So I think it's important to understand the lens through which they are viewing the world. And so I think it's a case of education, but, being empathetic. you know, trying to explain as much as possible, the, the reasoning for thinking long-term, for putting plans in place, for putting a degree of protection, etc.
But being empathetic, recognising that actually the stage of life is very different. And actually, many of us, through going through different stages of life, we get experience, we get perspective, etc . And many of these people haven't had that yet. They've short-circuited all of those things, right? So for example, I mentioned at the forum that many people in the room there, working in a corporate job, will have experienced disappointment at not getting promoted when they wanted or getting a pay rise, etc . And they learned to...
be patient, to keep working hard and eventually it pays off. If you've created your wealth, you know, dramatically, know, in a dramatically short time period, you haven't had to think about these sort of things, right? So it's, it's, it's, it's recognising that, you know, being empathetic, recognising that, that creating wealth can also actually exacerbate many behavioral biases, etc . And so it's trying to sort of understand all of those things as much as possible.
Brandon (13:29)
And with wealth creators who, you know, which are creating wealth in industries such as sport or social media, where actually invariably the earning period is far shorter than many traditional sort of business models, I suppose. That said, obviously the wealth generation is significant during this time of their lives, but how open are these
⁓ creators to appreciating the importance of sort of long-term planning. You touched on it there, but you know, in order to secure their wealth for a lifetime, you know, looking ahead to their sixties, their seventies.
AJ (14:05)
Yeah, so if we think about behavioral biases, one of the most important behavioral biases to think about is loss aversion, in the sense of losses have a bigger impact on us than equally sized gains. And so when people recognise that there's a risk that, for example, they might lose money or the market might go down, etc , that really focuses their attention. so I think that...
That is something that's important to bring about in those conversations because whilst things may have gone very well and whilst it's been created very quickly, etc , no one wants to lose any of that, whether you're young, whether you're old, however long it's taken to build it, etc . So that's something that everyone has in common, right? So it's getting people to recognise the possibility of that. Think about it that.
that could happen and use that as the lens to think about things. Obviously in the good times, it's very difficult to have a conversation about the potential bad times, right? You know, when people are making money, being successful, etc , saying, actually, maybe let's put some things in place, let's put some protection, let's diversify, etc . It's not the most natural sort of conversation to have, but it's extremely important. That's exactly when you want to have those conversations. You don't want to wait until...
the, you know, until the crisis, until the drawdowns, etc , to have that. it's, it's, it's, yeah, it's starting that early on and trying as best as possible to get people to recognise that what is happening today may not necessarily be what continues in the future. And so you've got to think about those other, the other scenarios.
Brandon (15:45)
And with that in mind, how are these conversations approached? You know, as you say, when the mind of the creator is firmly on their career at the present moment.
AJ (15:55)
Yeah, so, you know, I try my best from personally when in my role to ask a lot of questions rather than tell people things. And so this is something that I think is very important is to try and get an understanding of how a person thinks about things. To the point at the beginning about risk return, decision making, etc , is to try and get an understanding of what drives them, what do they fear, how do they deal with...
different scenarios, etc. To slowly get that person to kind of think it through in their own terms, etc. So that's kind of the approach. I would never sort go in and say, okay, we need to think about this. If you don't, this is bad, etc. It's more trying to guide someone so that they themselves sort of recognise it. And when it comes to this cohort, what is very important is to tell stories about others that have been in similar situations, when things have gone right, when things have gone wrong.
And so networking, think, is very important. And I think this is actually where in financial services industry, can help clients very much. It's very simply putting them in touch with other clients that have been in similar scenarios or are going through things at the same time or someone who's just gone through that to get a bit more of an understanding about what the path is going to entail, what could be some of the challenges, etc , because I think that helps. We as human beings, we connect with stories.
In many cases, hearing the story of someone that's done something similar to you in a business endeavor, etc , and what they've done with their wealth is going to be far more impactful than someone coming with a deck of this is, you know, the principles that we should follow in the plan that you should take.
Brandon (17:41)
Yeah, you've recently traveled to Guernsey and presented to some of the industry leaders on the island and of course Barclays has ⁓ a strong presence here on the island as well. What has your experience been with our local professionals and clients here in Guernsey?
AJ (17:58)
Yeah, my experiences of Guernsey are always very positive. I typically go to Guernsey a couple of times a year and always come back with a smile on my face in the sense of I always have a very busy agenda. There's a lot of people to see in a very short period of time. But I always come away very energised because the thing that always stands out to me when I'm in Guernsey is that the local teams, clients, etc, are very keen to hear from others
to learn from the experiences of others. And so when I appear and I speak and I go to meetings, etc, I always find audiences that are very receptive, really trying to understand how they can better what they're doing. So for example, outside of Guernsey, I spend a lot of time with private clients, with individuals, with families. But when I'm in Guernsey, I spend time with fiduciaries, talking to trustees, etc. And I always find that there is always a willingness to listen, to think about how
it could be better serving their own clients, having better conversations. So I feel there's a lot of collaboration. I think it helps that everyone is very close together and it's very easy to see each other, etc . And I think that helps a lot. And that is something that's definitely going for Guernsey is the collaboration and also just a desire to improve things. You know, I've been in meetings and it's like, how can we improve Guernsey PLC in general? How can we improve the industry, etc ?
which I think is a positive. So yeah, very, very positive experiences.
Brandon (19:25)
And just bring it back again to that specialism. The world of wealth management and private banking is, by its very virtue in a sense, is to adapt around client needs, to sort of change approach over time to reflect that. How important is a specialism like yours in providing that distinct service for the bank ⁓ and for the bank's clients, I suppose, in terms of tweaking and adjusting the offering to reflect the client needs?
AJ (19:54)
Yeah, I think, think like, obviously it's going to be a very cliche thing to say, right? But Client centricity is extremely important in, this industry, right? You know, there are lots of players doing very similar things, offering similar products, etc. And what is going to differentiate one bank from another, one relationship manager from another, etc, is going to be how well you understand clients. And I think that's where
behavioural finance comes in because that is the lens, right? It's the lens of the I sit within an investment team and I sit around investment professionals that are thinking about markets, that are thinking about products, etc . And I'm involved in all these conversations. I'm paying attention to what is going on, etc . But my lens is always, how is this going to affect the client? How are they going to deal with what's going on in the market? What is their reaction going to be to this headline, etc ? ⁓ And so I think that's where
where behavioral finance comes in, because I think ultimately it comes down to people and you can offer the best investment portfolio solution plan that is gonna maximize the probability of a client reaching their goals, etc . But if that client can't sleep well at night because they're nervous about the volatility that's associated with it, etc , is that really optimal or not?
And this comes back to that early point I made right at the beginning is that if you're not thinking about psychology and emotions, etc , you're just missing something. And so I think that's a key part. And I think it's only gonna grow in importance because you if you think about, you go on Bloomberg this morning and think about the headlines that you're seeing, is AI a bubble, etc , know, stocks overvalued, etc . A big part of all of those stories is...
psychology, market sentiment, is how are investors dealing with things, what are their perceptions, etc . it just touches on every part of finance and investing at the moment.
Brandon (21:49)
And of course it would be remiss for us to sort of leave out the demographics of wealth generation and creation and ownership and inheritance as well, which are all undergoing, you know, quite rapid change ⁓ at this time. You know, we're seeing huge obviously increase in women wealth inheritors and creators again as well. What can the behavioral finance specialism offer
as the industry sort of continues to adapt to those changing demographic forces of, yeah, whether it's wealth creation or inheritance.
AJ (22:22)
Yeah, so I'll start with a caveat. And I said this at the forum the other day. When I get these questions, the important caveat I think is to recognise that every client is their own unique person with their own unique story, way of viewing the world, way of making decisions, way of thinking about wealth and investing, etc . So I think that's important to always keep that in mind because
You don't want to oversimplify and over-segment and say that these people are like this and these people are like that. But it can be useful to try and segment to some degree to kind of tease out what are some of the differences and some of the things that you should be thinking about to be able to serve the different cohorts. And I think that's where behavioral financing can come in because there is a lot of research to really understand what some of these differences are.
Prime example is the one that you gave here about women wealth creators and some of the differences because sometimes you see some of these reports or headlines, etc , that say women are more risk averse than men. And so these are the implications of that. But actually, if you think about, if you go into the behavioral literature and some of the stuff that comes out actually is that the bar of confidence that needs to be crossed
to be comfortable with making an investment decision. In many cases, for women it's gonna be higher than it is for men in the sense of a man might just jump in and make the investment decision, but a woman may ask more questions, need to have a better understanding of the product and the strategy before being comfortable with making that decision. Now, when both of those people cross that bar, then actually that's when the...
risk tolerance comes in. actually, even though it may have taken longer to be comfortable with making the decision, actually, the risk tolerance is no different from the other person that just jumped in. And that's a nuance that gets missed in many cases. And then you draw the wrong conclusions where you might say, actually, these aren't the right products, this isn't the right strategy, etc. But actually, no, it's not. It's more a, you need to have a deeper conversation to get a better understanding about what are some of those concerns? What are some of the challenges, spend more time going through them?
Because in many cases, if you spend longer having those initial conversations, then actually there's going to be more comfort with taking risk and being on an investment journey and dealing with volatility, etc . And so, you know, when it comes to behavioral finance, one of the things that we say internally and with clients, etc, is that, you know, the more time that is spent on these conversations at the early stage, the better the investment journey is going to be for everyone. So I think that's what it comes down to. I think when it comes to NextGen,
That's very similar in the sense of there are differences there. In many cases, there's a more holistic view of investing, thinking more a bit about values and alignment with investments, etc , which can lead to a very different sort of outlook. And in many cases for both of these, for women, for NextGen, etc , the end products might not be different. The end solutions might not be different, but the conversation that you need to have around them
is. And I think that's where the behavioral insights can be quite useful.
Brandon (25:43)
I think that that probably leads quite neatly into the next question, which is, are there differences between first generation wealth creators across different demographics or gender or age? You and because, I mean, obviously you've touched on it there, but are there observable key differences and in which case, would, might those look like and how might that then affect that conversation that you have and how would it tailor that sort of approach that you have to dealing with that client?
AJ (26:10)
Yeah, for sure. So yeah, for sure. You know, if we think about some of the differences there, let's take someone that has set up their own business, made lots of decisions, been a creator, let's say, had a lot of autonomy, then actually at the latter stages when it comes to making decisions, delegating, etc , there potentially could be less comfort with the idea of doing so,
because the track record has always been, I made these decisions, etc . And so a question might naturally be asked of what is the value in having a team and delegating and having advice, etc , which is then why, again, to that point before, it's about helping to educate, to recognise that there are many things that we don't know as individuals. We don't know what we don't know, right? And so you've got to think about that.
recognise that certain cohorts, certain demographics will have more experience with certain things and less with others. And that's why it's useful to try and educate as much as possible, connect people, to tease out where some of those differences are from what is the traditional client that someone might be used to working with and recognise sometimes that that might mean a different approach is needed in terms of the advisor that is put in front of a client, the team that is built.
What is the makeup of that team? How does that reflect the end client, etc ? It's trying as much as possible to tailor to every individual client. Obviously that's easier said than done. But as much as possible, I think that is useful so that that client doesn't feel like they are completely different from who you're used to dealing with and you're making some exception or whatever. They just feel that this team has been created around me and you guys understand me. I think that's the key thing that you want all clients to feel, right?
Brandon (28:02)
Yeah. And, full wealth inheritors on the sort of, I suppose, the flip side of the coin, the world of wealth management may not be, I suppose, so foreign for them, ⁓ as it is for those new entrepreneurs who have perhaps sort of built their wealth from scratch. Although then I suppose there is that caveat that if you come across a significant windfall of capital, despite having sort of inherited it, that is obviously a significant lifestyle change with huge responsibilities and, you know, burdens of their own, I suppose, in some respects.
What is it like for those world inheritors and how can understandings of the sort of mental changes that come with that sort of sudden windfall of capital or huge sums of inheritance? You know, and how does that then provide advisors with guidance on steering the, I guess, that emerging generation into a position of actually becoming eventually the matriarch or the patriarch of that respective family?
AJ (28:52)
Yeah, think, you know, think inheriting wealth can be very challenging and whilst someone that inherits wealth may have more of an understanding of wealth, of management, of business, etc. That doesn't mean that there are not going to be challenges, right? And I think in many cases, know, coming into a large sum of money affects a lot of your own relationship with yourself, with others, with money, etc. And I think those are the things that need to be thought about.
You know, we talk very much about someone that's built a business over many decades and then they have a business exit and then they feel a bit lost and they're trying to find their purpose, etc . And that seems to be very well understood of helping people transition post business exit, right? But think about having that sort of change in life and perspective, etc , at a much younger age. I think it can be very challenging, right? You know, you have...
potentially changes every aspect of your life, your relationship with others, do you lose connection to some degree with some of your peers? How do you feel about your own motivation now? Potential doubts, have you worked hard for this or not, etc ? And so I think that's a whole different ball game which needs to be understood, ⁓ And I think this idea that
a larger sum of money is going to make life easier, it's not necessarily what's going to be the case, right? There's going to be challenges and they're going to be unique to each individual because of whatever their own personal relationship is with money, with the business, views, potential differences in views between themselves and their parents, which can then lead to a whole different dynamic that needs to be understood about how you manage these conversations across generations. And this is where,
some of those conversations that come about around sustainable investing and a different approach to how the wealth is managed versus how it was created, which can to some degree, you know, create some conflict there. So there's those discussions about family charters, etc . So it's, I think, yeah, you know, it's always going to come back to this same answer, Is just really trying to understand what is going on beyond the surface level. And so this is one of the things I found.
over the years from practical experience in using behavioral finance with clients is in many cases, I'm told that this is the concern, this is what's on the client's mind, this is what the meeting is gonna be about. Let's try and help them overcome this challenge. And I kind of go in with this sort of idea based on the brief I've been given. But actually in many cases, when speaking to a client and probing and asking deeper questions and kind of drilling down.
In many cases, actually, the concern, the sticking point, the hesitation is something far deeper than whatever that surface level issue was. So for example, a client that says that, I'm nervous about XYZ event going on in markets at the moment. Well, the obvious starting point is going to be to try and explain what's going on, to shed some light, to help illuminate that. But in many cases,
that actually is something which is far deeper. It's like there's a real fear of something else going on there. There's some concern, etc . And these little things are easy sort of excuses or things that people can attach themselves on, but actually it's something beyond. And that's the thing that advisors need to try and really understand.
Brandon (32:27)
And just a final question on that note. I mean, trust is often hard won and then easily lost, especially in the sort of the wealth management game, especially when finances are involved and, you know, gaining a deeper understanding of clients obviously goes some way to avoiding situations where there are sort of, I suppose, losses of trust and loss of trust takes place.
Do you think behavioral ⁓ finance or behavioral sciences will take more of a front seat, particularly with regards to what is understood to be quote unquote good governance as this space continues to develop and I suppose comes to the fore in terms of, guess, more mainstream understanding?
AJ (33:09)
For sure. Obviously I'm biased given given our work in the field, but I think so. think it is going to be ⁓ increasingly important for different reasons. I think like, you know, we're in a stage now where you're having new players come to the market, more technology, AI, etc . And there's a lot more information out there that's circulating around. So
it's important to be able to interpret that well to understand that and having a behavioral lens, I think is going to be very important. It's also very important to use those insights internally. So the advisors to clients understand their own biases, their own blind spots, etc , to improve internal decision-making. think that is just as important. We talk very much about knowing the client, but actually the advisors need to know themselves, right?
an organisation needs to understand themselves, needs to understand their processes, their decision making, etc , so that potentially if issues arise, you understood why decisions were made and what processes followed, etc . Because we live in a world now where we typically think that faster decision making, more information is better. But actually from a behavioral perspective, sometimes that is not necessarily the case, right? And actually,
slowing down, introducing a bit of friction into the decision-making process, time for reflection, for challenge, etc , ⁓ is very important for making good decisions. And I think about it internally in terms of portfolio management teams that are making decisions with client portfolios, etc , trying to mitigate group think when it comes to decision-making. I think it's about, you can't eliminate biases completely ⁓ as much as being aware of them.
is a good starting point. Just being aware that you have this bias doesn't eliminate it from yourself or from processes, etc . So what you can try and do as best as possible is to put things in place to mitigate the impact of those biases. And obviously if you can try and do that, improve decision-making, then you would hope you would have less of those events occurring for a multitude of reasons. So I think it comes down to that is anything that's gonna help with
decision making, whether it's internal, whether it's with clients, it's going to be a good thing. think behavioral finances is another tool that you can use to help improve that.
Brandon (35:43)
Well, it was great to talk through behavioral finance and some of the psychological changes that take place when creating and inheriting wealth and how advisors can incorporate these into their offering to improve the experience for the client. thank you very much for joining us on the podcast today.
AJ (35:59)
My pleasure. Thanks for having me. Speak again soon.
Brandon (36:02)
Brilliant. Thanks also to you for listening. If you enjoyed this discussion, we have a back catalogue of interviews on the Guernsey Finance podcast channel. You can check them out by searching for Guernsey Finance on your preferred podcast platform. We also have links to Alex and Barclays Private Bank in our show notes. To find out more about Guernsey and its specialist financial services sector, head over to our website, guernseyfinance.com. We look forward to welcoming you back to the podcast soon, but until then, it's goodbye from Guernsey.
