INNOWS

Our psychology is riddled with irrationalities with respect to finance. The average investor is probably not a financial expert, and can hold life values outside of finance, likely skewing their financial decision-making to the suboptimal. With this view, I suggest that the average investor’s financial decisions are significantly influenced by psychological identity (individual and social) and i..

One layer over another : the trader’s psychology12 Apr 2016In one respect, behavioral finance looks at the psychology of individual financial market players during decision making. For example, financial neuroscience looks at heart-rate, sweaty palms, and electric brain waves of individual players. In another respect, the field looks at group phenomena (is this dangerously close to behavioral ec..