Investor Behavioral Finance: Examining its Applicability on Egyptian Investors

Yıl 2018, Cilt: 10 , 85 - 91, 12.09.2018

Sharif Musbah Abu Karsh

Öz

Behavioral finance is a novel
approach in the financial markets domain. It originates due to an urgent need
to overcome and deal with the outstanding issues that traditional investors
face in today's modern finance system. Thus, it is said that certain investors
who do not have perfectly sensible elucidation regarding some financial
situations and issues can recognize these issues better by means of certain
financial models. Likewise, in a number of behavioral finance models, investors
are known to be unable to bring an up-to-date of their beliefs in the correct
manner. However, other models show that investors adopt questionable choices in
some cases. Thus, this paper introduces the behavioral finance, describes the
background and the aims and objectives of the study, and it introduces the
standards of the behavioral finance.

Anahtar Kelimeler

Financial theory, Egyptian investors, Stock analysis, Anchoring theory, Loss aversion

Kaynakça

• Barberis N., Thaler R; “A Survey of Behavioral Finance”; Online: September 2002. http://badger.som.yale.edu/faculty/ncb25/ch18_6.pdf Beugelsdijk, S., &Frijns, B. (2010). A cultural explanation of the foreign bias in international asset allocation; Journal of Banking & Finance, 34(9), 2121-2131 Cornicello G.; “Behavioral Finance and Speculative Bubble” Online: 2004. http://www.finanzacomportamentale.it/files/tesi2.pdf Fama, Eugene F.; “Market efficiency, Long-term returns, and Behavioral Finance”; Journal of Financial Economics, 1998; Pg. 283-306 Fairchild, Richard; “Behavioral Finance in a Principal-agent of Capital Budgeting”; Online: Aug, 2004. http://www.bath.ac.uk/management/research/papers.htm Fromlet, Hubert; “Behavioral Finance – Theory and Practical Application”; Business Economics; Jul 2001; Pg. – 63 Johnnson M., Lindblom H., Platan P.; “Behavioral Finance – And Change in Investor Behavior during and After the Speculative Bubble at the End of 1990s”; Online: January 2002. http://introduction.behaviouralfinance.net/JoLP02.pdf Konukoglu, E. (2010);Uninformed momentum traders. Available at SSRN 1455343 Ritter, Jay R.; “Behavioral Finance”; Pacific-Basin Finance Journal, September 2003; Pg. 429-437. Statman, Meir; “Behavioral Finance: Past Battles and Future Engagements”; Financial Analysts Journal; Nov/Dec 1999 Transatlantik Institute; “Behavioral Finance”; Online: February 2002. http://www.transatlantikinstitut.de/eng/dateien_projekte/behavioral_sciences.html Morgan J.P.; “Introduction to Behavioral Finance”; Online: June, 2004 http://www.jpmorganfunds.com/pdfs/other/FINALBehavioralFinanceWhitePaper.pdf http://www.behaviouralfinance.net/ http://en.wikipedia.org/wiki/Behavioral_finance