Materialization of Behavioral Finance and Behavioral Portfolio Theory: A Brief Review
Journal of Economics and Behavioral Studies, 2012, vol. 4, issue 8, 431-435
This study introduces the emergence of behavioral finance (BF) and behavioral portfolio theory (BPT). BF research dives the conventional suppositions of projected value optimization with coherent investors in proficient enjoinments. There are two major component of BF which are â€œway of peopleâ€™s thinkingâ€ (cognitive approach) and â€œwhen markets will be incompetentâ€ (arbitrage limits). Behavioral portfolio theory describes investorâ€™s behavior, how they divide their wealth into portfolio mental accountâ€™s layers (MAL) parallel of their ambitions. The development of BF study has stimulated due to the incapability of conventional structure to explore several pragmatic models.
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:rnd:arjebs:v:4:y:2012:i:8:p:431-435
Access Statistics for this article
More articles in Journal of Economics and Behavioral Studies from AMH International
Bibliographic data for series maintained by Muhammad Tayyab ().