Discover how anchoring impacts financial decisions and investing. Learn key concepts and examples of this behavioral finance term.

An anchor is a trigger that creates a response in your subject. You can set anchors for yourself; for example, an alarm clock that prompts you to wake up and turn off the alarm. A good salesperson or ...

A powerful psychological bias called anchoring influences our decisions. It means the first number we see often becomes a ...

Imagine making a crucial decision only to realize later that your choice was heavily influenced by the first piece of information you encountered. This cognitive bias, known as the anchoring effect, ...

Let’s have some fun and start off with a little quiz. Take out pen and paper and write down the answers to the following two questions: (1) How old are you? (2) How many people worldwide died in major ...