Hardwired
We’ve posted before about the scientific studies proving that healthy adults have a hardwired optimism that helps them navigate the world, and how that optimism works against them when they come face-to-face with a well-disguised scam. That optimism tells them that “bad things happen to other people, not me” and lowers their resistance to the masterful manipulations of financial criminals. Today, CNN reported on another scientific study confirming that we are ill-equipped to avoid scams without professional help.
The study, by Vasily Klucharev - postdoctoral fellow at the F.C. Donders Centre for Cognitive Neuroimaging at Radboud University Nijmegen in the Netherlands - used brain technology to show how our brain tends to pull us into conformity with the majority opinion in a group, even when all objective evidence shows that the majority is wrong. Of course, this human tendency works for scam artists who use the age-old technique: “Let me tell you who else has invested in this opportunity.” Our desire to feel important, and the brain chemistry pushing us toward conformity, together pull us toward investing in something that others who we consider savvy and/or trustworthy have invested in.
Although they may not appreciate the neuro-chemical explanation for these phenomena, reckless brokers and scam artists know how to manipulate them to get us to put our nest eggs into things that will pay the broker well, but will likely cost us our long-anticipated retirement. That is why only professional help can protect our nest eggs from a tag team of the scam artist and our human tendencies.
Proverbs 28:26 is right. He who trusts himself is a fool, but he who walks in wisdom kept safe. Seek the counsel of someone who knows the mind and tricks of the reckless broker and the scam artist before it costs you what it took you decades to save.