Behavioral Finance

This course aims to get students acquainted with the field of finance where psychology and emotions are part of the decision-making process behind any financial or business decision, from a practical standpoint, with real life examples. Acknowledging humans are emotional and have cognitive limitations, this field of Finance blends psychology and finance to provide a new approach to the conventional traditional Finance school of thought. In this course the main objective is to introduce the human biases, explain their origins, show their evidence, and learn how to mitigate/minimize them. It will provide a framework that allows for the identification and best response to our human biases, from an investor or corporate decision-maker perspective, through a series of in-class experiments and real-life examples (hands-on approach). Behavioral Finance course is suitable for students seeking to have tools that enable out-of-the-box process of thought and mind reading to better perform their positions in financial markets or any other corporate finance work.