The financial services industry is heavily regulated. That means the politicians who write the laws and the regulators who execute those laws shape the environment in which individual investors make their decisions. In this episode, Mark Riepe is joined by Mike Townsend, vice president for legislative and regulatory affairs at Schwab. Townsend is also the host of Schwab’s newest podcast, WashingtonWise. Among other things, Mark and Mike discuss how politicians use certain cognitive and emotional biases to frame policy proposals, win elections, and pass legislation.

• 2015-bakshy-1130-2.pdf">This study of Facebook users examined how interacting with diverse news and opinions affected exposure to content across the political spectrum.
• This study from the Journal of Marketing Research showed that taxes are disliked more than their equivalent (or larger) costs.

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Important Disclosures:

The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.

The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.

All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.

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Past performance is no guarantee of future results.

This is for general informational purposes only and is not intended, nor should it be construed, as tax, investment or legal advice. Consult with your legal counsel and tax advisors about your particular circumstances.

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