Peopletendtobepennywiseandpoundfoolishandcryoverspiltmilk,eventhoughwearetaughttodoneither.Focusingonthepresentattheexpenseofthefutureandbasingdecisionsonlostvaluearetwomistakescommontodecision-makingthatareparticularlycostlyintheworldoffinance.BehavioralFinance:WhatEveryoneNeedstoKnowRprovidesanoverviewofcommonshortcutsandmistakespeoplemakeinmanagingtheirfinances.Itcoversthecommoncognitivebiasesorerrorsthatoccurwhenpeoplearecollecting,processing,andinterpretinginformation.Theseincludeemotionalbiasesandtheinfluenceofsocialfactors,fromculturetothebehaviorofone’speers.Theseeffectsvaryduringone’slife,reflectingdifferencesinduetoage,experience,andgender.Amongthequestionstobeaddressedare:Howdidthefinancialcrisisof2007-2008spurunderstandinghumanbehavior?Whataremarketanomaliesandhowdotheyrelatetobehavioralbiases?Whatroledoesoverconfidenceplayinfinancialdecision-making?Andhowdoesgettingolderaffectrisktolerance?
FINANCE EXPERIENCE MAKING experience
