Behavioral Finance is an economic and scientific study on human behavior. It is a research done on social cognitive and emotional biases to understand economic decision and how they affect markets. The behavioral finance is mainly concerned with the human rationality and its practical aspects. This theory is a study of Human psychology and Economics. Behavioral finance is the upcoming study of ...

What are the dominant stocks which drive the correlations present among stocks traded in a stock market? Can a correlation analysis provide an answer to this question? In the past, correlation based networks have been proposed as a tool to uncover the underlying backbone of the market. Correlation based networks represent the stocks and their relationships, which are then investigated using dif...

and we acknowledge the contributions of participants at these conferences. All errors or omissions are our own. Abstract Were Australian Internet stock returns unusual? We examine daily returns on a primary sample of the 21 Australian Internet stocks in the Merrill Lynch (Australian) Internet Stock Index at the climax of the boom-bust period, between 21 September 1999 and 20 September 2000. App...

BACKGROUND Refined estimation of carbon (C) stocks within forest ecosystems is a critical component of efforts to reduce greenhouse gas emissions and mitigate the effects of projected climate change through forest C management. Specifically, belowground C stocks are currently estimated in the United States' national greenhouse gas inventory (US NGHGI) using nationally consistent species- and di...

We used the Support Vector Machines in a classification approach to 'beat the market'. Given the fundamental accounting and price information of stocks trading on the Australian Stock Exchange, we attempt to use SVM to identify stocks that are likely to outperform the market by having exceptional returns. The equally weighted portfolio formed by the stocks selected by SVM has a total return of ...

Four stocks of Ehrlichia ruminantium (Welgevonden, Ball3, Nonile and Blaauwkrans), the causative agent of heartwater in domestic ruminants, were isolated into Ixodes scapularis (IDE8) tick cells using the leukocyte fraction of the blood of infected sheep. Organisms of two of the E. ruminantium stocks (Welgevonden and Blaauwkrans) propagated in IDE8 cells were also successfully used to infect bo...

We study the trading of individual investors using transaction data and identifying buyeror seller-initiated trades. We document four results: (1) Small trade order imbalance correlates well with order imbalance based on trades from retail brokers. (2) Individual investors herd. (3) When measured annually, small trade order imbalance forecasts future returns; stocks heavily bought underperform ...

We examine institutional investor demand for stocks that are categorized as mispriced according to twelve well-known pricing anomalies. We find that institutional demand prior to anomaly portfolio formation is typically on the wrong side of the anomalies’ implied mispricing. That is, we find increases in institutional ownership for overvalued stocks and decreases in institutional ownership for ...

This paper proposes a dynamic risk-based model that captures the high expected returns on value stocks relative to growth stocks, and the failure of the capital asset pricing model to explain these expected returns. To model the difference between value and growth stocks, we introduce a cross-section of long-lived firms distinguished by the timing of their cash flows. Firms with cash flows weig...

This paper investigates the stock characteristic preferences of active Australian equity managers. We examine the following characteristics: stock price variance, momentum, size, transaction costs, earnings yield, analyst coverage and the standard deviation of analyst forecasts. In aggregate we find that active managers exhibit preferences for stocks exhibiting high price variance, large market...