behavioral finance

A savings account statement beside cash and rising price tags, illustrating the hidden cost of cash over time
Investor Behavior

When “Safe” Cash Is Quietly Losing You Money

Ask most savers why they keep a large balance in a savings account rather than in the stock market, and the answer usually comes down to a single word: safety. Cash cannot fall to zero overnight, it is there when you need it, and it never sends you an alarming statement after a bad month for shares. But that comfort has a cost that rarely shows up on any statement — and according to Vanguard’s head of behavioural economics research, Andy Reed, it is a cost the UK is paying on a very large scale.

A laptop displaying a robo-advisor portfolio dashboard beside market charts, illustrating that a robo-advisor does not remove investment risk.
Investment Myths

The Robo-Advisor Myth: Why “Set It and Forget It” Isn’t the Same as “Safer”

A robo-advisor promises something appealing: hand over your investing decisions to an algorithm, and let discipline replace guesswork. But discipline is not the same as protection. Automating the mechanics of investing — rebalancing, fund selection, sometimes tax optimization — changes how a portfolio is managed, not whether it can lose money. Before comparing management fees or reading “best overall” rankings, it helps to separate what these platforms genuinely improve from what they simply repackage.

A surviving spouse reviewing retirement paperwork, illustrating the widow's penalty and higher taxes after a household changes size
Investor Behavior

When a Smaller Household Can Mean a Bigger Tax Bill

Losing a spouse is among the most disorienting experiences a person can face. In the weeks and months that follow, surviving spouses must navigate estate paperwork, benefit decisions, and financial accounts — all while grieving. What many do not anticipate is a tax surprise waiting quietly on the horizon: the same retirement income, or even a reduced version of it, can end up being taxed more heavily once a person files alone.

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