Category Archives: Investing – Lizard Brain

Investing and Your Lizard Brain.

 

You need to know how this works in order to contain that bastard Lizard Brain that lives inside all of us and how it will damn you to a life of abject poverty if you keep acting on what it tells you.
The Lizard Brain is the primitive, limbic system that overrides a lot of our brain and our thinking. It is concerned about very little apart from mating, eating, running away from danger and sleeping. It seems it’s a hangover from when humans were, well Lizards.
It  plays tricks on you, when it smells danger it will make you run and hide, but it’s simple and it’s childish. It’ll look at the world and say “ struth, everyone else is doing it, must be safe”  – let’s put that in context.
Chickens and many other birds have the same brains. Squirrels also spring to mind.
Further on on in the development of brains we arrived at Dog brains, all of the above except they have the ability to run in packs and need to communicate so the brain needed to develop a bit more.

So now we have sleep, eat, shag and of course communicate and run away. From there human brains were developed and of course gave us the power of advanced communication and thinking skills but there is a problem, that bastard Lizard Brain.

The Lizard Brain – And Investing,
Most people decide to invest in the stock market when the world and his stupidity is also investing. “market high again” bleats on the news and the tabloid papers.

“Our fund is the largest in the UK” crow on the marketing messages – you interpret that as “well there must be hundreds of others who have invested it must be good” – like lemmings running toward a deep sea.
Lizard Brain thinks, everyone’s investing gotta be good, large fund with hundreds of other investors – gotta be good.
Facts are far too many large funds don’t perform and the worst time to invest is when the market reaches an all time high – only I doubt there are many advisers who will point that out, especially not when their income today will be directly affected by you not investing.

The same applies to your pensions and ISA’s, a large chunk of your funds should be held in cash and then you can utilise market timing to benefit your investments, and not an adviser’s pocket.

The Lizard Brain really is the nutter inside your head, it’s quite  mad. Every time you start something new it finds a way to tell you it’s a waste of time, it won’t work. Tries to intervene unless it’s about sex, food, or sleeping in which case it lets you get on with it. You must have noticed it even if you have not reacted to it.
Your Lizard Brain – the nutter will always tell you it won’t work, will find reasons not to go/do/say/learn and just want’s to keep you safe. No new stuff, no moving forward. One reason
Chickens have never taken over the world (have you ever seen the film Chicken Run – if not  you should).
Don’t forget you can always ‘borrow my brain’ to solve a problem quickly and you can do that here  or you can get on the list, it’s where I share my best stuff first, that’s below.

 

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