Behavioral finance explores some of the common patterns and biases that shape investors' actions and, ultimately, their portfolios. The stock market presents investors with many data points that ...
Coval, Joshua D., and Tyler Shumway. "Do Behavioral Biases Affect Prices?" Journal of Finance 60, no. 1 (February 2005): 1–34. (Winner of Smith Breeden Prize. Best Paper For the best finance research ...
Social scientists often consider temporal stability when assessing the usefulness of a construct and its measures, but whether behavioral biases display such stability is relatively unknown. We ...
When you think about behavioral finance, behavioral biases might come to mind first. You might think of herding behavior and the chaos of meme stocks and Silicon Valley Bank’s demise.
Researchers in the field of behavioral finance, a subset of behavioral economics, are interested in how these biases and emotional responses affect financial decisions specifically, and how these ...
"Behavioral finance seeks to account for the cognitive ... how our innate tendencies lead us to behave," he wrote. "Some biases are primarily driven by emotions, including fear," Aguilar adds.