Category: BEHAVIORAL FINANCE

Anchoring in Behavioral Finance

What is Behavioural Finance? Behavioural finance is a field of behavioural economics that deals with investors’ psychological influences and biases. It studies how these influences and biases affect the financial behaviour that investors use in investing decisions. Similarly, behavioural finance also explores market anomalies, specifically in the stock market. It …

What Is Behavioral Finance

What is Behavioral Finance? Behavioral finance is the study of how psychological factors influence the behavior of investors or financial analysts. It is a topic closely related and a part of behavioral economics. Behavioral finance suggests that psychological influences and biases can affect an investor or financial analyst’s behavior. It …

What is Survivorship Bias

For processes that involve analyzing a high amount of data, sampling is a critical process. However, for it to be effective, the user must select the sample properly. Nonetheless, it might not be possible to do so because some bias may exist when users choose a sample from a given …

Data Mining Bias

The selection of an appropriate sample size is often a debatable topic. When selecting samples, it is crucial to choose correctly, so that the results obtained are not biased. However, many issues can result in a biased selection of samples and, therefore, result in a lower quality of parameter estimates. …