November 8, 2025

Hi there

Good morning! In today’s issue, we’ll dig into the all of the latest moves and highlight what they mean for you right now. Along the way, you’ll find insights you can put to work immediately

— Ryan Rincon, Founder at The Wealth Wagon Inc.

You’ve probably heard it before: “Investing is 90% mindset and 10% math.” That might sound exaggerated, but it’s shockingly true. The biggest threat to your investment success isn’t a bad stock pick — it’s your own emotions.

Welcome to the world of behavioral investing, where psychology meets money. Understanding this side of finance can help you not only grow your wealth — but keep it when markets get wild.

Behavioral investing is the study of how human behavior and emotions impact financial decisions. It’s the reason people buy high and sell low, chase trends, or freeze during market downturns.

You see, investors aren’t always rational. We like to think we make logical decisions based on numbers, charts, and research — but most of the time, we’re driven by fear, greed, and bias.

The goal of behavioral finance is to recognize those emotional triggers so we can make smarter, calmer choices — the kind that lead to long-term success.

Let’s look at the mental shortcuts (or “biases”) that can sabotage even smart investors:

This is the fear of losing money — and it’s powerful.
Studies show that losing $100 feels twice as painful as the joy of gaining $100.

That’s why many investors panic-sell during downturns — even though history shows that markets almost always recover. If you sold your investments in March 2020 during the COVID crash, you likely missed out on one of the fastest recoveries ever.

✅ Lesson: Losses are temporary; panic decisions can be permanent.

When everyone’s buying Tesla, meme stocks, or crypto, it’s easy to think, “I should too!”
But following the crowd often means buying at the top — when hype is highest and prices are inflated.

The herd mentality played a huge role in bubbles like the dot-com crash (2000) and crypto’s rollercoaster ride (2021–22).

✅ Lesson: When you hear “everyone’s doing it,” pause and ask — is it based on logic or FOMO?

We all like to think we’re smarter than the market — that this time, we’ve found a hidden gem no one else sees.
But the truth? Most professional fund managers don’t beat the market consistently — and they have teams, algorithms, and decades of experience.

✅ Lesson: Confidence is good. Overconfidence is expensive.

Humans tend to assume that whatever’s happening now will keep happening.
When markets rise, we expect them to rise forever. When they fall, we assume the world’s ending.

This short-term mindset makes investors buy high (during bull markets) and sell low (during bear markets).

✅ Lesson: The past few months don’t predict the next few years. Zoom out — investing is a marathon, not a sprint.

This one’s sneaky. It’s when you only look for information that supports what you already believe.
If you think a stock will go up, you’ll read articles that agree — and ignore warnings that it’s overvalued.

✅ Lesson: Great investors seek to disprove their opinions before acting on them.

Now that you know the mental traps, here’s how to protect yourself:

The greatest investors aren’t necessarily the smartest — they’re the calmest. They don’t let headlines or short-term panic push them into bad choices.

Money decisions are never purely logical — they’re emotional, psychological, and deeply human.
But once you understand your own behaviors and biases, you can stop them from controlling your wealth.

The market rewards those who stay patient, diversified, and emotionally steady.
So next time fear or FOMO strikes, take a breath, stick to your plan, and remember — your greatest investment edge isn’t a secret formula.

It’s you.

I hope you enjoyed today’s issue of The Wealth Wagon. If you have any questions regarding today’s issue or future issues feel free to reply to this email and we will get back to you as soon as possible. Come back tomorrow for another great post. I hope to see you. 🤙

— Ryan Rincon, CEO and Founder at The Wealth Wagon Inc.

_^Disclaimer: This newsletter is for informational and educational purposes only and reflects the opinions of its editors and contributors. The content provided, including but not limited to real estate tips, stock market insights, business marketing strategies, and startup advice, is shared for general guidance and does not constitute financial, investment, real estate, legal, or business advice. We do not guarantee the accuracy, completeness, or reliability of any information provided. Past performance is not indicative of future results. All investment, real estate, and business decisions involve inherent risks, and readers are encouraged to perform their own due diligence and consult with qualified professionals before taking any action. This newsletter does not establish a fiduciary, advisory, or professional relationship between the publishers and readers.