Conduct some research on behavioral finance and how it relates to investment decision-making and portfolio risk. Address
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Conduct some research on behavioral finance and how it relates to investment decision-making and portfolio risk. Address the following:
- Present a theory related to behavioral finance (examples are herd mentality, castles in the air theory, or behavioral biases). Include the title of the theory, the theorist/founder (if known) and a brief overview of what the theory states.
- Explain how this theory applies to investment risks and return for a portfolio (for an individual) or an organization's overall financials (for a business).
- How does the behavioral side of finance relate to the quantitative data that we have reviewed this week? Is this a negative or positive relationship?
Related Book For
Intermediate Accounting
ISBN: 978-1119503668
17th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfiel
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