Interpersonal Therapy (IPT) addresses behavioral finance through its strong evidence base: most behavioral finance is connected to relationship problems, and improving relationships improves behavioral finance.
The Four IPT Focus Areas for Behavioral Finance
IPT targets one of four interpersonal problem areas that typically accompany behavioral finance:
- Grief: Loss and bereavement contributing to behavioral finance
- Role disputes: Conflicts in important relationships driving behavioral finance
- Role transitions: Life changes creating adjustment-related behavioral finance
- Interpersonal deficits: Limited social skills or relationships sustaining behavioral finance
IPT vs. CBT for Behavioral Finance
While CBT targets thoughts and behaviors, IPT targets relationships and communication. Both are highly effective for behavioral finance — the best choice depends on the primary driver.
What IPT for Behavioral Finance Looks Like
IPT for behavioral finance typically runs 12-20 sessions, with early sessions identifying the interpersonal focus area, middle sessions working on it, and later sessions consolidating gains.