Behavioral Finance and Wealth Management: How to Build Optimal Portfolios That Account for Investor Biases

By Michael M. Pompian. 2006

337 citations recorded by the source corpus.

View Paper: https://www.semanticscholar.org/paper/1f37ecbedaf6792e7fd58529f7f2c0146d98cf65

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Citations in the corpus

• How financial literacy and demographic variables relate to behavioral biases (2019, background): “Below are some studies that address each of these biases: • Overconfidence and self-attribution: investors who are overconfident have an unwarranted faith in their intuitive reasoning, abilities and judgments (Pompian, 2006).”
• An Exploratory Inquiry into the Psychological Biases in Financial Investment Behavior (2013, background): “Therefore, an understanding of how the individual investors make decisions is of significant concern, particularly the role of investor biases (Olsen [2007], Pompian [2008]).”
• Impact of Financial Literacy and Behavioural Biases on Investment Decision-making (2021, background): “Anchoring bias can also be described as the investor’s tendency to anchor their considerations to a rationally irrelevant point in investment decision-making (Pompian, 2006).”
• Investor sentiment in the stock market (2013, unknown): “For example, if someone is asked if lightening kills more people in the United States or if tornados do, he or she may select tornados due to broad media coverage of tornado deaths despite lightening being the correct answer (Pompian, 2006).”
• Decomposing the Age Effect on Risk Tolerance (2011, unknown): “ognitive biases that can adversely influence investment choice and ehavior (Tversky and Kahneman, 1974; Pompian, 2006).”
• A study on the impact of investment experience, gender, and level of education on overconfidence and self-attribution bias (2015, background): “Overconfidence can be summarised as unwarranted faith in one’s intuitive reasoning, judgments, and cognitive abilities (Pompian, 2006).”