• Follow Me @ twitter

    Error: Twitter did not respond. Please wait a few minutes and refresh this page.

About the BFR

What is Behavioral Finance?

Behavioral finance is said to be a field of finance that proposes psychology-based theories to explain stock market anomalies. Within behavioral finance, it is assumed that the information structure and the characteristics of market participants systematically influence individuals’ investment decisions as well as market outcomes.

There have been many studies that have documented long-term historical phenomena in securities markets that contradict the efficient market hypothesis and cannot be captured plausibly in models based on perfect investor rationality. Investors rationality is determined by several demographic, economic, and cognitive factors.  One of the examples could be Market Sentiments. Market sentiment is a major force driving the momentum in stock prices in securities markets. Similar anomalies could be overconfidence, heuristics, opportunism, turn of the day/time effects, etc. Behavioral finance attempts to fill the void and explore the relationship among these factors.

This forum has been created for the purpose of discussion on emerging issues in Finance research with special focus on Behavioral Finance.

The Behavioral Finance Research Blog is maintained by the researcher(s)/academicians and practitioners/industry professionals from diverse areas of Finance and Investments. The views expressed in this blog are solely those of the authors themselves and should not be taken as representative of the views of the institutions they belong to.

PS: Some of the posts here are the mirror posts from another blog of mine. Happy sharing!

(ɔ) Copyleft. All Wrongs Reserved.

30 Responses

  1. hi, abhijeet,
    first thanks that ur blog helped me to prepare for my proposed research for “corporate behavioral finance”. Abhijeet i need one help from you. will u please share some of information about the behavioral finance in indian context. i mean how managers behavior affect perceived cost of capital of their company. i have lot of data but that is for forgeing companies and my researach is based on indian companies. and my topic is corporate behavioral finance so i need information in india context. another thing is let say recently it has announced about the merger of RNRL and R power, in which ratio or RNRL and R power is not justified. this also involve much insight for behavior of their managers. but for that i need some of data like what can be the fundamental value of both the company on the day of announcement and other details. If you have any kind of such information than please do help me, i am in dam need of it.

    Thanks

    • Hi Pinal.
      Could you email me a copy of your research proposal?

      • Hi there, I did my proposal on behavioural finance of finance professionals (ie fund managers etc) I would like to do it for my dissertation but I feel that’s its not very practical. Could you recommened how I can improve it or suggest another angle of behavioral finance?

    • Hi
      Could you mail me research on Behavioral Finance for reference purpose on my email id please?

      • Hi, thanks for writing! Can you please be specific about what you need from behavioral finance research? Most of the materials are available on the Internet for download. Thanks

  2. Good day I was fortunate to approach your blog in baidu
    your topic is splendid
    I obtain a lot in your Topics really thank your very much
    btw the theme of you site is really terrific
    where can find it

  3. […] The busiest day of the year was December 15th with 49 views. The most popular post that day was About the BFR. […]

  4. Dear Abhi
    This is the great job in behavioural Finance.

  5. I really prefer what you post in this article. Really insightful and intelligent. One challenge though. I’m running Internet explorer with Debian and parts of your current layout pieces are a little wonky. I realize it’s not a standard set up. Yet still it’s something to retain in view. I trust that it can help and always keep in the very best quality writing.

  6. Hi Friends, I am really proud of becoming a member of this blog. I would like to view some of the research paper in behavioural finance. Kindly help me in this regard. As my PhD thesis is related to behavoural finance.
    Thanks,
    with regards,
    p.parameswari.

  7. Dear Abhijeet,

    Thanks for the work . I really appreciate it as it is going to be of great help in my Phd thesis.

  8. Dear All,
    I m planning my phd research on a topic relevant to behavioral finance. Can anyone of u guide me

  9. Thought you might enjoy this TED video that explores some of the decision making biases common to investing and being in love. Keep producing great content on behavioral finance!

  10. hi to every one

    this blog is really good for those who are interested in the field of behavioral finance.actually i am preparing my ph.d proposal in behavioural finance can anyone tell me which topic i should choose in behavioural finance.

    • Thanks for spreading the good words about the forum, Ankur.
      And it is very interesting to know that you’re planning to work on Behavioral Finance. If you haven’t gone through the basic literature available on the subject, you can refer to Want to know more of it? section of this blog. This would help you understand the subjects and further decide about what topic you should choose to work on for you PhD. Feel free to discuss it here or through email.
      Best,
      Abhi

  11. Hello, everyone>>> I am planning to do my Ph.d in Finance. Kindly suggest good topic

  12. Happy New Year!
    Hi everybody! I’m a student and I wanna do a research about Behavioral Finance. Could you recommend me any topic? 🙂
    Thank you so much!

  13. Hello sir

    I am a doctoral research scholar doing my research in behavioral finance.i have gone through your blog and found it to be immensely helpful.
    sir i have some queries about your Ph.D thesis on individual investor behavior at jamia milia islamia university.i would be highly obliged if you can reply to the queries i have mailed you .

  14. I am planning to do Phd in behavioral finance area..can you please suggest some specific topics in this area?

    • Thanks for your interest!
      But let me reiterate that we are not here to suggest any specific topic for PhD or any research. We should focus on furthering discussions which might help you zero in a topic of your research interest. You may please read, and read, and read, then discuss, and discuss more; in the process we believe you would find some research questions which might be a base for your PhD work.
      PS: If you have any ideas, you may feel free to share it with me through my e-mail (abhijeet[dot]chandra[at]yahoo[dot]com).

  15. Hi Professor Abhijeet,

    I am junior Research scholar in Behavioural Finance topic from Bharathidasan University, Tamil Nadu.

    I have gone thru ur article – Finance meets pschology. Very Nice.

    I may expect your kind guidance to finish my thesis. Is it possible to guide and assist me.

    Thanks and Regards,
    Selvakumar MBA (Mphil)
    Former Assistant Professor in
    Vysya Institute of Mgt Studies,
    Salem.

    9884222137

    • Hi Mr. Selvakumar,

      Thanks for your interest in our work!

      You may please write to me at abhijeet[dot]chandra[at]yahoo[dot]com.
      I would appreciate if your write your research objectives, etc in li’l details.

      Thanks,
      AbC

  16. Hi prof,

    There is a Behavioral Finance Conference at JNTU Hyderabad on Jan 22 – 23, 2014. I am going to present a conceptual paper titled ” Rogue Traders in Financial Markets : Behavioral Finance Perspective “.

  17. i am keen to start my ph.d on a topic in the field of behavioural finance. everyone please suggest something interesting.

  18. Hello Prof. Abhijeet,

    I am Palash Bairagi, Research scholar FMS(BHU) and i have gone through on of you paper titled”Factors influencing Indian individual
    investor behavior: survey evidence.” the paper is very useful 2 me for my research .I want know more scope for further study in Indian context though i am also having the same area i.e. anomalies relating to behavioral finance and what are the risk factor which influences investor psychology and the decision making process.

    so, sir please guide me for same which will help me for further my Phd thesis.

    Thanks and Regards,

    Palash Bairagi(Research Scholar)
    FMS(BHU), Varanasi-221005

    8604911346

  19. Hello Abhijeet sir

    I am Manika Sharma, doing research in the same field. You’ve done a great job by creating this blog. I’ve gone through your paper as well titled “Factors Influencing Indian Individual investor Behaviour: Survey Evidence” which really proved to be helpful esp. knowing the occurrence of behavioural biases w.r.t Indian investors as there are limited studies available.

    Maximum research papers that I’ve read, discussed Behavioural biases among investors w.r.t stock exchanges. Can we conduct a phd research in the similar field with mutual fund investors, insurance policyholders or any sector specific etc?

    Kindly guide me in exploring the areas uncovered in the respective field.
    Thanks and Regards
    Manika Sharma
    Research Fellow
    NIT Kurukshetra

    • Thanks, Manika, for your nice words.

      With respect to your idea relating to studying behavioral biases among mutual fund investors/insurance product buyers, you might wish to refer to a paper of mine titled “Selection Behavior of Individual Investors: Evidence from Mutual Fund Investments” by Abhijeet Chandra and Ravinder Kumar. Journal of Venture Capital and Financial Services. Vol. 4, No. 1, pp. 16-26 (2010).

      Thanks again.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s