IN THIS EPISODE, YOU’LL LEARN:

• How Emily Haisley became head of Behavioral Finance at BlackRock
• How her team helps fund managers recognize their behavioral biases 
• How to counteract a notoriously destructive bias, myopic loss aversion
• Why disposition bias leads investors to hold losers & sell winners
• Why it’s helpful to experience investment pain, not just learn about it
• How investment teams can profit by “beating up” their decision makers
• How the best investors benefit by subjugating their own ego
• What practical steps Emily recommended to one elite investment team
• Why she views “tainted altruism” as “the saddest bias”
• What investors can do to manage stress & its impact on their decisions
• How BlackRock uses AI to simulate decision making amid extreme volatility
• Why she’s learned to embrace uncertainty, false starts, mistakes, & change
• How 3 new year’s resolutions nudged Emily toward a happier life

Disclosure: This episode and the resources on this page are for informational and educational purposes only and do not constitute financial, investment, tax, or legal advice. For full disclosures, see link.

TRANSCRIPT

Disclaimer: The transcript that follows has been generated using artificial intelligence. We strive to be as accurate as possible, but minor errors and slightly off timestamps may be present due to platform differences.

[00:00:00] Intro: You are listening to the Richer, Wiser, Happier Podcast, where your host William Green, interviews the world’s greatest investors and explores how to win in markets and life. This show is not investment advice and is intended for informational and entertainment purposes only. All opinions expressed by hosts and guests are solely their own, and they may have investments in the securities discussed. Now for your host, William Green.

[00:00:40] William Green: Hi folks. I’m absolutely thrilled to welcome today’s guest, Emily Haisley. Emily has really one of the most fascinating jobs in the world of investing. She leads the behavioral finance team at BlackRock, which is the world’s largest asset manager with more than 14 trillion dollars in assets under management.

[00:00:57] William Green: She’s a PhD psychologist with a very strong background in academia. But what I think makes her so unusual is that she has this extraordinary depth of experience working in the trenches with fund managers and investment teams within BlackRock, basically helping them overcome their behavioral biases and deal with their emotions and make better investment decisions. I’m particularly excited to have Emily here today, not least because her expertise is really usually on display behind closed doors. She’s a kind of secret weapon within the world’s largest asset manager.

[00:01:32] William Green: So this is a very unique opportunity to learn directly from her about the psychology of investing and all sorts of practical ways that we can use psychology to become more successful investors. So Emily, welcome. It’s really lovely to see you.

[00:01:45] Emily Haisley: Thank you so much for having me, William. I’m most excited just to have a conversation with you because I always enjoy our talk so much.

[00:01:53] William Green: Oh, thanks. It’s a real delight. I’ve been looking forward to this, I think, for two years now since we first met. And, so I’m glad we’re finally actually getting to do this in public. So thank you for coming. You have such a unique and interesting job that I really wanted to start by simply asking you to describe what it is you do at BlackRock. As head of the behavioral finance team, can you give us a sense of your role and your responsibilities there?

HELP US OUT!

Help us reach new listeners by leaving us a rating and review on Spotify! It takes less than 30 seconds, and really helps our show grow, which allows us to bring on even better guests for you all! Thank you – we really appreciate it!

BOOKS AND RESOURCES

• Inquire about William Green’s ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠Richer, Wiser, Happier Masterclass⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠.
• Benjamin Graham’s book ⁠The Intelligent Investor⁠.
• J. Krishnamurthi’s book ⁠On Right Livelihood⁠.
• William Green’s podcast interview with ⁠Annie Duke⁠.
• William’s book, ⁠⁠Richer, Wiser, Happier⁠⁠.
• Related books mentioned in the podcast.
• Ad-free episodes on our ⁠⁠⁠⁠⁠⁠⁠⁠ ⁠⁠⁠⁠⁠⁠⁠⁠Premium Feed⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠.

Some of the links on this page are affiliate links or relate to partners who support our show. If you choose to sign up or make a purchase through them, we may receive compensation at no additional cost to you.

NEW TO THE SHOW?

• Get smarter about valuing businesses in just a few minutes each week through our newsletter, The Intrinsic Value Newsletter.
• Check out ⁠⁠⁠⁠⁠⁠⁠⁠⁠The Investor’s Podcast Starter Packs⁠⁠⁠⁠⁠⁠⁠⁠⁠.
• Follow our official social media accounts: X (Twitter) | LinkedIn | Facebook.
• Browse through all our episodes (complete with transcripts) here.
• Try our tool for picking stock winners and managing our portfolios: TIP Finance Tool.
• Enjoy exclusive perks from our favorite Apps and Services.
• Learn how to better start, manage, and grow your business with the best business podcasts.

SPONSORS

Support our free podcast by supporting our ⁠⁠⁠⁠sponsors⁠⁠⁠⁠:⁠

• Plus500⁠⁠⁠⁠
• ⁠⁠⁠⁠Netsuite⁠⁠⁠⁠
• ⁠⁠⁠⁠Vanta⁠⁠⁠⁠
• ⁠⁠⁠⁠Shopify

References to any third-party products, services, or advertisers do not constitute endorsements, and The Investor’s Podcast Network is not responsible for any claims made by them.