The Way Consumers and Clients Respond to Financial Conversations: Investigation with Measurement of EEG signals

Abstract

This study investigated the way clients responded to financial conversations by employing quantitative EEG signal analysis. The research study proposed to address the following questions: (a) In what way does a financial conversation influence brain waves? (b) In what way does a financial conversation influence consumers’ general activity? and (c) In what way is financial risk tolerance associated with changes in brain waves in different situations? The results showed that: (a) Having a financial conversation affects a person’s behavioral responses unconsciously; (b) Having a financial conversation affects a consumer/client’s subsequent activity, and (c) Professional financial consultants should consider risk tolerance before having a financial conversation with clients.

Keywords: EEG, brain waves, financial conversation, consumer behavior

JEL Classification: D12, D14