Behavioral Finance / Behavioral Economics

(the new frontiers of Finance and Economics)

BE / BF Glossary

A    B    C    D    E    F    G-H    I-L    M    N-O    P-Q    R    S    T-U    V-Z

Full list

A transcendental question before starting:
when money is at stake, can somebody be really rational?

Definition of Behavioral finance / Behavioral economics,

and content of this website section


 

Behavioral Finance (BF) and

Behavioral Economics (BE) are

the application of individual and collective psychology
to finance, and to economics (*).

 (*) Click here for a short description of economics and finance.

Behavioral finance and behavioral economics study how we

behave with money, production, work, spending, investment...


BF/BE is based on several types of researches, which deal with various
subfields such as:

Behavioral finance / economics micro

aka "Psychological behavioral finance"
or more simply "Financial psychology".

It studies:

How investors make choices

And, as part of this decision process,
investor behavioral biases / errors,

Financial / economic behaviors
    and money attitudes in general
,

which often are not fully rational,

In savings, borrowing, insuring, tax management, gambling...

Behavioral finance / economics macro

aka "Quantitative behavioral finance". It studies:

The effects of those behaviors on financial markets, and more

generally on the economy, such as
anomalies & inefficiencies on asset prices and returns.

BF tries to detect and understand those biases / anomalies,
and if possible to use them in
investment strategies.

To find more complete definitions of BF, please look at the links
in chapter 2. below.

This section of our website gives an extensive range of information and education
items on this
financial / economic topic.

Here are the categories of contents:

1. PURPOSE and TOPICS of our Behavioral Finance group

2.   Our free BF GALLERY: synthesis / glossary / FAQ / contributions

3.   A behavioral stock pricing tool: the STOCK IMAGE

4.   A mine of interesting RELATED SITE

5.   AUTHORS & BOOKS on Behavioral Finance

  1. PURPOSE and TOPICS of our free Behavioral Finance group

We share information and opinions on financial approaches
going beyond the "efficient market hypothesis" shortcomings.

Our main information / discussion topics are:

More details about our discussion topics can be found at: BF Group description

Join our free Behavioral-Finance forum

Founded May 6, 2000. Now over 1700 members
from all over the world

10 year anniversary

  2. Your free GALLERY: Behavioral Finance / economics glossary / FAQ

Synthesis and contributions on BF

   FAQ / Glossary / dictionary / encyclopedia

( 500+ Behavioral finance / Behavioral economics definitions,

many as full articles, constantly completed and updated! )

.

A    B   C    D   E   F    G-H   I-L   M    N-O   P-Q   R    S   T-U   V-Z  + Full list

.

And also

A short presentation of Behavioral finance
      in our
Main BF concepts tables

A bit more detailed general approach of BF essentials
     in our B-F synthesis pages

 

You can also do a comprehensive Word Search:

   In this website

   Or in our group messages: 1)click Behavioral-Finance group,

        2) click "messages", 3)enter your query in "search archives"

See also Martin Sewell's treasure chest of academic

All members are welcome to send their contributions
    
to enhance our collective encyclopedia.

 Post to the Behavioral-Finance group
   (if you are already a member)

  3. The PRACTICAL CORNER:

An exclusive BEHAVIORAL STOCK PRICING TOOL:

the "Stock image" + some practical investor precaution tips

To find all details on the "Stock image" stock pricing tool,

click Behavioral Finance & Stock Image  (my site's front door)


Or, if you are already familiar with the method, click

Stockpricer to use our calculator to do a stock valuation.

For investor practical precaution tips (protection against biased
   behaviors)
see bfpractice

  4. A mine of interesting RELATED SITES, just a click away:

Our BF group's "bookmarks"

Or this website's "links" (a broader choice
    of financial sites, not only on BF)

Not to forget financial articles written by the
    author for the Knol Google encyclopedia

  5.  AUTHORS & BOOKS on Behavioral Finance

(also, a page under preparation to give a list of
universities with BF courses
)

separ

This page last update: 17/05/13
  visits to this page received since May 12th 2000

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