Implication of behavioral finance in investment decision-making process
Behavioral finance is a structure that supplements some parts of standard finance and replaces other parts. It portrays the behavior of investors and management in decision-making; it illustrates the outcomes of interactions between investors and managers in financial and capital markets. As decisio...
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International Foundation for Research and Development (IFRD)
2012
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author | Jahanzeb, Agha Muneer, Saqib Khan, Saif-Ur-Rehman |
author_facet | Jahanzeb, Agha Muneer, Saqib Khan, Saif-Ur-Rehman |
author_sort | Jahanzeb, Agha |
collection | ePrints |
description | Behavioral finance is a structure that supplements some parts of standard finance and replaces other parts. It portrays the behavior of investors and management in decision-making; it illustrates the outcomes of interactions between investors and managers in financial and capital markets. As decision-making is an art to undertake complex situations and investors make irrational decisions during their investments. Therefore, it is a unique art to choose a certain alternative from various alternatives available. Although behavioral finance does not claim that every investor would suffer from similar illusion, instead it sheds light on to take necessary initiatives to avoid such illusions, which influence the process of decision-making, particularly while making investments. |
first_indexed | 2024-03-05T18:48:00Z |
format | Article |
id | utm.eprints-30562 |
institution | Universiti Teknologi Malaysia - ePrints |
last_indexed | 2024-03-05T18:48:00Z |
publishDate | 2012 |
publisher | International Foundation for Research and Development (IFRD) |
record_format | dspace |
spelling | utm.eprints-305622019-06-27T06:08:14Z http://eprints.utm.my/30562/ Implication of behavioral finance in investment decision-making process Jahanzeb, Agha Muneer, Saqib Khan, Saif-Ur-Rehman HD28 Management. Industrial Management Behavioral finance is a structure that supplements some parts of standard finance and replaces other parts. It portrays the behavior of investors and management in decision-making; it illustrates the outcomes of interactions between investors and managers in financial and capital markets. As decision-making is an art to undertake complex situations and investors make irrational decisions during their investments. Therefore, it is a unique art to choose a certain alternative from various alternatives available. Although behavioral finance does not claim that every investor would suffer from similar illusion, instead it sheds light on to take necessary initiatives to avoid such illusions, which influence the process of decision-making, particularly while making investments. International Foundation for Research and Development (IFRD) 2012-10 Article PeerReviewed Jahanzeb, Agha and Muneer, Saqib and Khan, Saif-Ur-Rehman (2012) Implication of behavioral finance in investment decision-making process. Information Management and Business Review, 4 (10). pp. 532-536. ISSN 2220-3796 |
spellingShingle | HD28 Management. Industrial Management Jahanzeb, Agha Muneer, Saqib Khan, Saif-Ur-Rehman Implication of behavioral finance in investment decision-making process |
title | Implication of behavioral finance in investment decision-making process |
title_full | Implication of behavioral finance in investment decision-making process |
title_fullStr | Implication of behavioral finance in investment decision-making process |
title_full_unstemmed | Implication of behavioral finance in investment decision-making process |
title_short | Implication of behavioral finance in investment decision-making process |
title_sort | implication of behavioral finance in investment decision making process |
topic | HD28 Management. Industrial Management |
work_keys_str_mv | AT jahanzebagha implicationofbehavioralfinanceininvestmentdecisionmakingprocess AT muneersaqib implicationofbehavioralfinanceininvestmentdecisionmakingprocess AT khansaifurrehman implicationofbehavioralfinanceininvestmentdecisionmakingprocess |