One night, a ghost quietly cut the rope of a donkey tied to a tree, setting it free. The donkey, unaware of the consequences, wandered into a nearby farmer’s field and trampled the crops that had taken months of hard work to grow. Furious at the loss of his...
Behavioral finance is a relatively new field of study to see how psychology and emotions influence financial decision-making. This field of study has grown in popularity recently as researchers have begun understanding how our emotions and biases can impact our financial decisions. As rightly explained by Hersh Shefrin, “Behavioural...