Behavioural Finance and Investment Strategies

Module code: MN3138

Over recent decades, the standard finance theory, based upon the efficient markets hypothesis and the rational choice model, has been heavily criticised. The behavioural finance approach, based on the ideas and findings from psychology and neuroeconomics, challenges those traditional theories and presents an alternative.

In this module, you'll analyse the competing standards of the Efficient Market Hypothesis and Behavioural Finance. You'll differentiate between a range of systematic biases and demonstrate how they give rise to anomalies in the asset price formation process. Furthermore, you'll analyse investment strategies to exploit these variations.

Learning

  • 20 hours of lectures
  • 8 hours of seminars
  • 122 hours of guided independent study

Assessment

  • Coursework (100%)