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2020 | OriginalPaper | Chapter

4. Financial Behavioralism: A Behavioral Finance Approach to Minimize Losses and Maximize Profits from Heuristics and Biases

Author: MPA DDr. Julia Puaschunder

Published in: Behavioral Economics and Finance Leadership

Publisher: Springer International Publishing

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Abstract

In an impressive line of experiments and field studies, the growing field of behavioral finance has offered behavioral insights on how markets deviate from rationality. Human actors are prone to base their investment choices on very many other factors than simply volatility and profit maximization opportunities. Most recently nudging has started using the emerging insights about human heuristics and biases to improve decision making in different domains ranging from health, wealth and prosperity, which are covered in the following chapters. The following part reviews some of the behavior insights gained in the last decades and shows ways how to profit from heuristics and biases.
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Metadata
Title
Financial Behavioralism: A Behavioral Finance Approach to Minimize Losses and Maximize Profits from Heuristics and Biases
Author
MPA DDr. Julia Puaschunder
Copyright Year
2020
Book
Behavioral Economics and Finance Leadership

Print ISBN: 978-3-030-54329-7

Electronic ISBN: 978-3-030-54330-3

Copyright Year: 2020

DOI
https://doi.org/10.1007/978-3-030-54330-3_4

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