Behavioural scientist and futurist Milo Wilkinson told a risk specialist dealer group conference in Australia that human behaviour is far more predictable — and far more resistant to change — than most people realise, warning that advisers must understand these instincts if they are to lead clients effectively through uncertainty.
…human beings are wired for risk, not optimism…
Wilkinson, who works globally with corporate and elite sporting teams, said human beings are “wired for risk, not optimism,” with around 73% of daily thoughts being negative and most repeated from one day to the next.
“We’re looped as a species,” she said, noting that “…92 to 95% of the thoughts you had yesterday are the same as today — and will be the same tomorrow — until you decide to break the script.”
Recognising the Brain’s Biases
Wilkinson explained that humans evolved to survive in small, familiar groups, not in complex modern environments, and this creates deep-rooted biases that can influence decision-making. A famous Yale experiment, she noted, demonstrated that even infants show an instinctive preference for others who behave like them.
…We are born to create bias against people who are not like us…
“We are born to create bias against people who are not like us,” Wilkinson said. “The beauty in human behaviour — and in business — comes from difference. Diversity is where true progress sits.”
She warned that advisers, like all professionals, risk surrounding themselves with “mini-me’s” who reinforce existing beliefs rather than challenge them, and that cognitive diversity within advice practices can enhance both problem-solving and client engagement.
Understanding the Limits of Mental Energy
Wilkinson also highlighted the brain’s limited daily energy supply, describing it as a “power bank” with only five bars of capacity. Each decision or emotional response consumes part of that reserve, leading to mental shortcuts and biases later in the day.
“By the afternoon you’re on one bar of power,” she said. “That’s not the time to make big decisions about your business or your marriage.”
The brain, she said, constantly “culls” information to conserve power — a function that helps efficiency but can also cause people to ignore critical data that challenges their worldview. Advisers, she suggested, need to remain conscious of this filtering effect, especially when assessing client risk tolerance, business strategy or market trends.
Change and the Psychology of Loss
Turning to the theme of change, Wilkinson argued that while humans are neurologically built for adaptation, they are psychologically anchored to loss.
…We’re not afraid of change …We’re afraid of what we’ll lose because of it…
“We’re not afraid of change,” she said. “We’re afraid of what we’ll lose because of it.”
She urged advisers to acknowledge and discuss perceived losses — whether financial, emotional or procedural — when leading clients or teams through transitions. Doing so, she said, accelerates acceptance by up to 60% compared with traditional “command-and-control” methods.
“Reconcile the loss first,” Wilkinson said. “A 10-minute conversation about what people think they might lose will move them through change much faster than dragging them along.”
Red Arrows and White Arrows: Choosing Focus
Throughout her address, Wilkinson returned to the concept of “red arrows” (negative thoughts) and “white arrows” (positive ones), encouraging advisers to recognise but not dwell on the red.
…the white arrows are where growth and innovation happen…
“We are naturally drawn to red arrows — to what’s wrong, unfair or risky — because the brain delivers those five times faster,” she said. “But the white arrows are where growth and innovation happen.”
For advisers, she suggested, consciously hunting for “white arrows” — constructive opportunities and learning moments — can reshape team culture, improve resilience, and strengthen client relationships.
Adapting for the Future
Wilkinson also addressed broader societal shifts shaping client psychology. From digital ownership models and personalised marketing to changing generational attitudes toward wealth and consumption, she said advisers must understand not just financial trends but behavioural ones.
“It doesn’t have to make sense to you,” she said. “It just needs to make sense to the person it makes sense for.”
She closed by urging advisers to “…stay curious,” lean into discomfort, and build self-awareness around their own thinking patterns.
“Where you put your mind, your business will follow,” she said. “We can’t control our first thought — but we can control what we do with it.”
