Indexed Universal Life Products, Complexity and Uncertainty
October 2, 2019 by Holly Snyder
In her enlightening book, The Optimism Bias, best-selling author and neuroscientist Tali Sharot examines how and why we are all so predisposed to see ourselves, our families, our surroundings and our future in the best possible way. She defines the phenomenon of this look-on-the-bright-side bias as, “the inclination to overestimate the likelihood of encountering positive events in the future and to underestimate the likelihood of experiencing negative events.”
Why do we act in this particularly positive fashion? Well, for one, it helps us simply to survive.
While I certainly understand and appreciate this protective mechanism, when it comes to making decisions about your financial future, I firmly believe that people need to make decisions on realities that may not be particularly rosy.