Brief Course Description
1. Course Title:
Behavioural Finance
2. Language of Instruction:
Tiếng Việt
3. Course Code:
BEH605031
4. Credits:
3
5. Course Objectives:
This course aims to provide students with theoretical foundations in behavioral finance related to decision-making in financial investment and corporate finance. The course focuses on interpreting how psychological influences and cognitive biases impact the choice tendencies of individuals in markets and corporates. Students will be equipped with the in-depth knowledge to identify and analyze behavioral/cognitive biases in decision-making and apply these insights to assess and investigate their effects on financial investment strategies and corporate policy decisions.
6. Brief Description of Course Content:
This course is designed to provide in-depth knowledge of behavioral finance. After completing the course, students are expected to understand the limits of the arbitrage theory, the challenges of the efficient market theory, unusual phenomena that the classical financial theories cannot fully explain, the main assumptions and content of expected utility theory, prospect theory, heuristics and biases, the implication of heuristics and biases for financial decisions, overconfidence and the implication of overconfidence for financial decisions, framing, rational managers, and irrational investors. Students can identify the effects of behavioral biases such as overconfidence, anchoring, familiarity, herd mentality, metal accounting on investment, financing, and dividend decisions.