Behavioral finance: insights from experiments II: biases, moods and emotions

Behavioral Finance Models and Behavioral Biases in Stock Price Forecasting

Stock market is affected by news and information. If the stock market is not efficient, the reaction of stock price to news and information will place the stock market in overreaction and under-reaction states. Many models have been already presented by using different tools and techniques to forecast the stock market behavior. In this study, the reaction of stock price in the stock market was ...

New Insights into Behavioral Finance

Behavioral Finance: Biases, Mean– Variance Returns, and Risk Premiums

ehavioral finance can shed light on many areas of investing, including valuation. In this presentation, I will discuss some of the key behavioral phenomena and how they relate to particular issues associated with analyst perceptions about returns (namely, representativeness and affect). I will then compare returns for what I call “behavioral mean– variance portfolios” with those of traditional ...

Affect without Object: Moods and Objectless Emotions

It is not obvious that we should welcome the influence of moods. On one familiar conception, a mood offers a view of reality that is at best distorted and at worst wholly subjective. However, this conception of moods is not universal. For example, Stephen Mulhall has drawn on the work of Cavell and Heidegger to argue for a view of moods as epistemically valuable states, embodying knowledge of t...

Local Emotions, Global Moods, and Film Structure

Until recently there were only scattered essays and one book attempting to apply cognitivist assumptions to film and emotions.l The very question seemed strange: how could cognitivism, with its emphasis on rational processes, hope to explain the irrational world of filmic emotion? Yet in the past few years several landmark books have appeared which pose compelling answers to that question.2 It ...