FNCE 4470 - Behavioral Finance

Over the past several decades, the field of finance has developed a successful paradigm based on the notions that investors and managers were generally rational and the prices of securities were generally “efficient.” In recent years, however, anecdotal evidence as well as theoretical and empirical research has shown this paradigm to be insufficient to describe various features of actual financial markets. In this course we examine how the insights of behavioral finance complements the traditional paradigm and sheds light on the behavior of asset prices, corporate finance, and various Wall Street institutions and practices. Prereq: FNCE 3500 with a C or higher. Max hours: 3 Credits. Semester Hours: 3 to 3