Behavioral Finance

Top Selected Products and Reviews

"Behavoral Economics" - by book reader
The book is amazing, the author explains clearly the important concepts, easy to read, very interesting topic, its a very good guide to introduce you to the field of behavioral economics focused on financy completely
"clear and detailed in what it discusses" - by Mike Ginn (Carmel, CA United States)
very good for me, I used it to advance my own understanding of behavioral aspects involved in my own investing.
"Excellent arrow to add to.investment quiver" - by Chamaine
Monitor does an excellent job of explaining why we make poor investment (and life) decisions. More importantly, he gives excellent advice on how to minimize the mistakes. He also explains why mutual fund managers behave the way they do and why the individual investor actual has,the advantage. Having averaged 14% per per year since I started investing in June of 1998, I will keep this book around to help focus on the process, so that the outcome will take care of itself in the long run.
"Great consolidation of behavioral research" - by gourmet chef usa
It seems clear that behavioral research has a lot to offer the field of investing. Crosby does a nice job consolidating a trove of research into a sensible narrative for this book. If you're reasonably up to speed with basic investing principles, then this book is a great jumping off point for some of the more important research on behavioral finance. Enjoyable and well-written.
"A useful introduction to the topic." - by Kevin the dad (Las Vegas, NV USA)
I am studying for CFA level 3. This author also writes the same subject for the CFA Curriculum. I wanted a book that would explain the topic in an easier way first, but from the same author. Four stars instead of five, because the author uses different terms, but then writes the same definitions, in this book. You have to notice the different terms used here, because the CFA exam only uses the terms in the CFA Curriculum.
"Fabulous Book!" - by Vincent E. Vizachero (Baltimore, MD United States)
"Inefficient Markets" is the most thoughtful original treatment of behavioral finance I have found. Unlike most other books on this topic, which either are vapidly light but original or are intellectually rewarding but disjointed compendiums of previously published articles, Shleifer has produced an interesting and intelligent synthesis of behavioral finance. He organizes his materially logically and clearly, covering the central themes of behavioral finance in as unified a manner as the subject permits. He has clearly thought hard about the subject matter, and his book reflects this. Shleifer's writing style is both lucid and academically rigorous, which makes for an enjoyable and informative book.
Shleifer begins by reviewing the theoretical and empirical foundations of the efficient market hypothesis (EMH) and introducing the principal challenges to this hypothesis. His review of the EMH is careful, objective, and respectful. ... full review
"Too academically oriented for average investor" - by Artephius (. (Fairbury, IL United States)
I was looking forward to learning about new theories in Behavioral Finance, but was a little disappointed by this book. The 21 articles each examine a discrepancy in a free market situation and develop theories for explaining the discrepancy drawing upon the behavioral finance field. I have an MBA and have been an investor for more than 20 years. There are too many statistics and academic language to be an efficient book for me. I quickly switched to finding each of the 21 questions, then skipping to the summary to find the behavioral finance theory for the discrepancy. I did enjoy the credit card high interest rate explanation and consider this explanation alone worth the price of the book. I also enjoyed the closed end fund discount price explanation also very useful. Book is ok, but 90% of the material can be skipped unless you are a ... full review
"great book" - by Rose (Kefar Saba, Israel Israel)
This book covers the material comprehensively and in a way that people out of the discpline can understand too.
"Extremely impressive, scholarly work that ties together the body of neoclassical and behavioral economics" - by Steve Shu
I am reading this book to stay on top of my field in applied work and also as preparation for entering a doctoral program to pursue applied research in behavioral finance. This is an extremely impressive work both as a reference and as cohesive look at the relationship between neoclassical and behavioral economics. There is a nice blend of theory, contrasts and comparisons of theories to one another, and examination of theories against both measured and experimental evidence. For instructors, there's also an impressive set of problems/thought exercises at the end of each chapter that provoke additional thought, and I imagine this material could be easily leveraged for assignments in academic environments.

Note: The paperback book is very big, but seems to be bound well. I may end up purchasing the Kindle version as well so that I can read it on the go. I have also thought about trying to ... full review
"This Is My Financial Bible" - by Jim Risser (Honolulu, HI USA)
This book is jammed packed with lots of information. I'm on my third read of it. It's hard to understand for a novice like myself, but with each subsequent read, I pick up more information. Plus, there's a lenghty bibliography where you can find references to more in-depth research.

For anyone who is a student of finance and wants practical, research proven information, this is the book for you!
"Good book for the beginers" - by Pradeep Kumar
I have just gone through this book. Book deals the behavioral economics from the vary basics. It first discusses the neoclassical theory and then briefly mentions how it fails to explain human behavior. The book doesn't go very deep into behavioral economics, though.
"Excellent information, well synthesized" - by Jijnasu Forever (Lynnfield, MA)
In a remarkably lucid book, Pompian provides an excellent overview of different cognitive and emotional biases that affect investor behavior other researchers have shown to exist or have characterized well. In this book, each of the biases (over 20 of them) are succinctly defined. Then, the author presents the ramifications of that bias with respect to investor behavior and how it can manifest itself. Further, he provides a brief discussion on how the effect of that bias can be addressed (in this section, he writes as if he is talking only to financial advisers, though the discussion is apt for any investor). In addition, each chapter contains some self-tests that can indicate whether that bias exists or not. Overall, an excellent book for a serious investor and any novice researcher in this field. A must-have. In addition to these books, the reader may be interested in the ... full review
"The book challenges the reader to think - and feel - about the role wealth plays to one's own meaning of life." - by Nandan
As much a 'spiritual' as a 'personal finance' book, "The Geometry of Wealth" connects the feelings of wealth with the creation of wealth. The book challenges the reader to think - and feel - about the role wealth plays to one's own meaning of life. Brian succinctly and understandably shares behavioral economics/biases with a step by step system to consciously understand them as well as methods to overcome them: Circle - connecting money and happiness, Triangle - prioritizing money, Square - simple is better, but not easy. I would highly recommend "The Geometry of Wealth" to both those in the financial industry as well as anyone wanting to understand the deep connection money has to how they feel.
"A must read for individual investors" - by Investing_lola
Extremely well written book in the area of the behavior of financial market participants. The reviewer who gave 1-star seems to have some personal agenda and grudge and I cannot fathom why he would give 1 star to such an exceptional book. This book is a must if you are actively engaged in financial markets and investing.

The authors have done an excellent job understanding the biases and cognitive mistakes that bedevil retail investors. A must read.
"Value Investing Explained!" - by Amazon Customer
A must read for amateur and professionals who seek to understand, practice and implement value investment
strategy. Beware, however, that value investing is not easy stuff and takes real work. The concept of value
investing is complex requiring focus and attention to detail.

Prof. Howard identifies the research requirements and valuation process to select and analyze undervalued stocks.
He goes into great practical and academic detail to explain and demonstrate how the process can result in intellectual
satisfaction and consistently superior investment returns.

Refreshingly fact based, his book is written in an easy comprehensible style. It's fun reading with a hint of humor and a professional glimmer of sarcasm. He also instructs the reader to be patient, ignore the "noise" of the markets and try to avoid the irrational influence of volatility on the decision making process.