While behavioral finance may be the most familiar subject within the psychology realm to advisors, Fallaw selected “client and planner attitudes, values, biases” as the most important to understanding clients out of the six under the topic in the CFP Board’s new list.

The reality is that there are far more “financial behaviors” that impact an individual’s financial success than just their willingness to stay invested and tolerate market volatility, as exemplified by the research underpinning Thomas Stanley and William Danko’s “Millionaire Next Door”, from one’s frugality to their focus on goals to their ability to withstand the temptation of keeping up with the Joneses (and be ‘socially indifferent’ to the spending habits of others).

Learn the key behaviors needed to build wealth no matter your age.

When Thomas Stanley's PhD book "The Millionaire Next Door" was released in 1996 it was hailed as the seminal work in the study of wealth accumulation. In 2018, his daughter Sarah Stanley Fallaw released a follow up that built on his work and added her own innovative perspectives.

Millionaires build wealth by being frugal.