Behavioral Finance

(3-4 Credit Hours) · Undergraduate

Sao Paulo, Brazil FGV: Students should be able to consolidate the previously acquired knowledge of Corporate Finance, the use of decision making tools and analysis, in contrast to the behavioral difficulties that prevent the value generation. Also, students should be able to understand why business decisions are potentially mistaken due to the influence of behavioral biases, taking examples from the business world. Lastly, students should be able to understand the importance of using Corporate Finance concepts and techniques correctly, recognizing the strength, magnitude and persistence of behavioral phenomena in the decision-making process. FIN 30190 Behavioural Finance at UCD; Behavioural Finance applies the theoretical and experimental methodologies and results of the cognitive sciences to questions concerning the ways in which individuals actually make financial decisions, in contrast to the traditional idealized economic models of choice behaviour. It also considers the impact of various individual psychological phenomena on aggregate market behaviour, addressing issues such as market efficiency and financial crises. HK Hong Kong This course provides an understanding of the behavioral biases that individuals exhibit and the effects of these biases on financial markets. Standard finance theory assumes that individuals such as investors or financial managers are rational expected utility maximizers. Behavioral finance argues that some investors are not fully rational and arbitrageurs have limits to how aggressively they can trade. A number of stock market anomalies will be presented and analyzed. IC Co. Galway, Ireland Behavioural Finance is truly an interdisciplinary field, weaving together ideas from economics, finance, psychology, sociology, and statistics. By drawing on diverse academic literature we'll uncover the decision-making processes that govern financial choices and reveal potential biases. This module offers a human-centred perspective on finance that goes beyond numbers and charts. Whether you're aspiring to be a financial analyst, investment manager, or simply seeking to make better personal financial decisions, the insights gained here will prove invaluable in navigating the complex world of modern finance. Overall, you will gain practical insights into the emotional and cognitive factors that drive human financial behaviour, equipping you with a unique perspective on personal and institutional finance.