In mid-2019, Be-IQ became the first company in the UK to lift the theory of behavioural coaching off the pages of the academic literature and put it firmly in the hands of financial planners in the shape of a ten-part Behavioural Coaching training course.
The idea behind the launch of Be-IQ’s Foundations of Behavioural Coaching was not only to put theory into practice, but to ready the Financial Planning market for the imminent launch of a brand new type of financial service; one that puts the human and their behaviours front and centre of the financial plan. Be-IQ Insights*.
Such has been the demand from Financial Planners asking about the course and its content, that we’ve decided to write a ten-part blog series on the subject. So, over the course of the next 10 weeks, we’ll be summarising that course and the ten episodes that make up the series. The aim is for you to get a feel of what we discuss and why that matters in relation to you, your clients, and your financial planning practice. We’ve even opened up the series so that you can watch each episode in its own right. See our new Vimeo On Demand streaming service for more details.
So what can you expect from episode one?
EPISODE 1: HOW WE MAKE DECISIONS
We kick off the series, episode one, looking at the brain and how it functions in relation to decision making. It’s important to understand the basic biology of decision making since it underpins everything that we talk about in this series.
We begin by looking at the neuroscience of decision making including our capacity for thinking, the two modes of thinking we adopt, and of course, the crux of the series, the thing we will be exploring in detail over nine episodes – heuristics and behavioural biases.
THE NEUROSCIENCE AND HUMAN EVOLUTION
We start by looking at the neuroscience of decision making and why having a base understanding of this helps us understand what’s going on when your customers are making important financial decisions.
THE POWER OF FEAR
Fear, worry, anxiety, stress, all have an impact on how we make decisions. We know that a person’s financial journey will be peppered with fear, anxiety, stress, all of which will have varying degrees of impact on the financial decisions they make.
OUR CAPACITY FOR THINKING
In episode 1, we go through an exercise that tests our capacity for thinking, and proves that the amount of information we can hold in our heads and then use in a practical way, is severely limited.
SYSTEM ONE AND SYSTEM TWO THINKING
We explore the differences between system One thinking (quick and intuitive), and System Two thinking (slower and deliberative).
Everyday we make decisions or judgements and in some cases, we can give these deliberate thought, meaning that we really think about stuff. But most of the time, we need to make a quick decision, and this is where heuristics come in to play.
And we finish off the episode by looking at the behavioural biases that we’ll cover off throughout the series, and explain how these biases present themselves often at the same time, like a behavioural bias tsunami and come together with heuristics to impact how we make our decisions.
INTERESTED IN WATCHING EPISODE ONE?
For readers interested in learning more about what is written here, you can CLICK HERE to watch this episode in full. On checkout enter PROMO CODE fobcbeiq25ind
* Launching Q4, 2019