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Behavioral Finance
Behavioural finance seeks to explain financial phenomena based on non-rational behaviour
amongst investors. Discuss the critical literature in this field using relevant and recent
authoritative sources and assess how behavioural finance can be applied in the context of
corporate finance i.e. in linking the behavioural characteristics of top executives and their
decision-making.

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  • 1. Behavioral Finance Behavioural finance seeks to explain financial phenomena based on non-rational behaviour amongst investors. Discuss the critical literature in this field using relevant and recent authoritative sources and assess how behavioural finance can be applied in the context of corporate finance i.e. in linking the behavioural characteristics of top executives and their decision-making.