Behavioural Finance

a contrast traditional and behavioral finance perspectives on investor decision making; b contrast expected utility and prospect theories of investment decision making; c discuss the effects of cognitive and knowledge capacity limitations on investment decision making; d compare traditional and behavioral finance perspectives on portfolio construction and the behavior of capital markets.

a distinguish between cognitive errors and emotional biases; b discuss commonly recognized behavioral biases and their implications for financial decision making; c analyze an individual’s behavior for behavioral biases; d evaluate the impact of biases on investment policy and asset allocation and discuss approaches to mitigate their effect."

"a explain the uses and limitations of classifying investors into various types; b discuss how behavioral factors affect adviser–client interactions; c discuss how behavioral factors influence portfolio construction; d explain how behavioral finance can be applied to the process of portfolio construction; e discuss how behavioral factors affect analyst forecasts and recommend remedial actions for analyst biases; f discuss how behavioral factors affect investment committee decision making an