Practical analysis for investment professionals

behavioral finance


Morgan Housel on Greed and Fear, Frugality and Paranoia

“Investing is not the study of finance,” Morgan Housel says. “Investing is the study of how people behave with money.”

Why You Should Be a Goals-Based Investor

What if our traditional models of choice are not measuring people’s true objectives?

Green Shock? Stock Market Overreactions to Bad ESG News

Does investor overreaction to ESG controversies create the opportunity for abnormal returns?

Annie Duke and Morgan Housel: Three Tools for Navigating Risk and Uncertainty

"The best way that you can be a decision maker in this type of environment is not to demand certainty."

The Half-Life of Financial Knowledge: Glorification of Change vs. Innovative Specialization

What is the half-life of financial knowledge and how can professional investors win the race against it?

Meir Statman on Coronavirus, Behavioral Finance: The Second Generation, and More

How can behavioral finance inform our response to the coronavirus? Meir Statman gave his perspective on this and other questions.

Book Review: Behavioral Finance

This book is a succinct but comprehensive review of behavioral finance and how investors and practitioners can compensate for their biases to improve their financial decision making.

Intuitive Behavioral Design: An Introduction

Specialize or face extinction. This is the binary choice facing small-to-medium sized asset managers, says Markus Schuller.

Smart Beta vs. Alpha + Beta

Can we create a simple and clean equity portfolio by separating alpha from beta?

Status Anxiety Or: How Our Neighbors Make Us Worse Investors

The best way to keep up with the Joneses is to ignore them. Joachim Klement, CFA, explains.