Wall Street Journal: How 20 Seconds Can Make You a Better Investor

ReD partner Mikkel Krenchel speaks to the Wall Street Journal on the growing need for good friction within financial services.

Some big financial decisions such as applying for a mortgage or saving for retirement can benefit from these speed bumps, according to ReD Associates, a consulting firm that specializes in using anthropological research to inform design of financial products and other services. More companies are starting to realize they can actually improve customer experiences by slowing things down, said Mikkel Krenchel, a partner at the firm.

“This idea of looking for sustainable behavior, as opposed to just maximal behavior is probably the mind-set that firms will try to adopt,” he said. 

To break the day-trading habit that cost him friendships and sleep, crypto fund manager  Thomas Meenink first tried meditation and cycling. They proved no substitute for the high he got scrolling through investing forums, he said.

Instead, he took a digital breath. He installed software that imposed a 20-second delay whenever he tried to open CoinStats or Coinbase.  

Twenty seconds might not seem like much, but feels excruciating in smartphone time, he said. As a result, he checks his accounts 60% less…

Read the full article by Imani Moise on Wall Street Journal.