Financial lessons can come from unlikely sources: Gavin Baker, head of $13bn fund Fidelity, has offered Reuters money tips based on popular TV fantasy series Game of Thrones. The first was to “watch out for evidence your view of the world is wrong" – unlike Iron Throne powers, who tend to dismiss the risks around them. Also, rein in your emotions – unlike character Robb Stark, who is murdered for falling in love with the wrong woman by allies of emotionless power-broker Tywin Lannister.
Take care if you want to trade in your old car, boat, home appliance or musical instrument. A US study has shown you can end up paying more than if you hadn’t offered a trade-in. Researchers found that dealers act on an assumption buyers may pay more, partly because the buyer clearly wants a deal (hence the trade-in) and partly by taking clues from the proposed trade-in’s features.
What goes on your shopping list? Research suggests we narrow down multiple options by following simple rules of thumb. We just index or rank products according to a list of desired qualities – such as price, usability, or reputation. This method is easy and produces good results for relatively little effort. We can be "shocked" out of the strategy by a big discount which pushes us towards a more short-sighted decision based on price, however.