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Which of the following statements is most likely to be true? A Traditional finance theory takes the insights of psychological research and applies them to

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Which of the following statements is most likely to be true? A Traditional finance theory takes the insights of psychological research and applies them to financial decision-making B Behavioural finance theory holds that investors are not confused by how information is presented to them and not swayed by their emotions In behavioural finance, it is found that individuals faced with a negative outcome following a decision will view that outcome as a reflection of their ability and skill ; but, when faced with a positive outcome, this is often attributed to bad luck or misfortune D Behavioural finance suggests investors are more sensitive to losses than to gains Investors' actual behaviours are always consistent with the assumptions made in traditional finance theory ow

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