How a Love of Money Can Sabotage Your Finances

Better Investing

What's Hot


How to Cut the Cable TV Cord in 2017Family

8 Major Freebies and Discounts You Get With Amazon PrimeSave

8 Creative Ways to Clear ClutterAround The House

Study: People Who Curse Are More HonestFamily

This Free Software Brings Old Laptops Back to LifeMore

Pay $2 and Get Unlimited Wendy’s Frosty Treats in 2017Family

The 3 Golden Rules of Lending to Friends and FamilyBorrow

6 Reasons Why Savers Are Sexier Than SpendersCredit & Debt

Resolutions 2017: Save More Money Using 5 Simple TricksCredit & Debt

Porta-Potties for Presidential Inauguration Cause a StinkFamily

Protecting Trump Will Cost Taxpayers $35 MillionFamily

Tax Hacks 2017: Don’t Miss These 16 Often-Overlooked Tax BreaksTaxes

5 New Year’s Resolutions That Will Pay Off 10 Years From NowCollege

10 Simple Money Moves to Make Before the New YearFamily

If you love money a lot, you're probably a poor investor, according to a new study.

If your investment portfolio is struggling, perhaps it’s time to take a look in the mirror.

Investors’ financial outcomes are directly related to their love of money, according to a new study by the State Street Center for Applied Research.

The center’s senior vice president, Suzanne Duncan, recently explained to Bloomberg:

“We found that the more that people love money, the worse their outcomes are and the more money they actually lose as a result of their affinity for money.”

For the study, the center surveyed 3,600 individual investors across 20 countries.

Researchers found that investors who scored higher on a “love of money” scale developed by the center made worse financial decisions, which led to their worse financial outcomes.

As Duncan told Bloomberg:

“It’s about your emotional attachment to money, and that exacerbates behavioral biases in a pretty significant way.”

The Center for Applied Research also found that investors with stronger attraction to money take on more risk. Duncan notes that while these investors’ risk is not necessarily a bad thing, it can be accompanied by a litany of “behavioral biases that wreaks havoc on their portfolio in the long-term.”

What’s your take on this news? Share your thoughts below or on our Facebook page.

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!

💰🗣📰

Read Next: 8 Ways to Get Your FICO Score for Free

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,821 more deals!