The Institute of Behavioral Finance

The Institute of Behavioral Finance was established to study the impact of psychology on investor decision-making. Through its major publication, The Journal of Behavioral Finance, and sponsored conferences the Institute has been at the forefront of new research in Behavioral Finance. The Institute's research areas include heuristic biases, laboratory experiments on the formation of bubbles, over-and-under-reaction, and affect theory. The goal of the Institute is to continue to address important new issues in Behavioral Finance by involving interested practitioners and academics in many fields, including economics, cognitive and group psychology, anthropology, sociology, and neuro-economics. By incorporating the work of knowledgeable researchers in varied disciplines the Institute tries to find better explanations for both investor decision-making and market anomalies that have been noted but not explained for several generations.

The Journal of Behavioral Finance offers penetrating insights into the performance of today's financial markets and is an indispensable resource for academics and practitioners who want to utilize behavioral concepts to understand the "how, what, when and where" of investing.

Volume 10, Number 1, 2009 Titles

Investing in the Unknown and the Unknowable—Behavioral Finance in Frontier Markets
Lawrence S. Speidell - Frontier Market Asset Management

The Hedonic Editing Hypothesis: Evidence from the Finnish Stock Market
Mirjam Lehenkari - University of Oulu, Finland

Behavioral Capital Structure: Is the Neoclassical Paradigm Threatened? Evidence from the Field
Dimitrios Vasiliou - Hellenic Open University
Nikolaos Daskalakis - Athens University of Economics and Business

Attitudes to Economic Risk Taking, Sensation Seeking and Values of Business Students Specializing in Finance
Lennart Sjoberg - Center for Risk Research, Stockholm School of Economics
Elisabeth Engelberg - Center for Risk Research, Stockholm School of Economics

Behavioral Finance Meets Experimental Macroeconomics: On the Determinants of Currency Trade Decisions
Johannes Kaiser - Laboratory for Experimental Economics, University of Bonn
Sebastian Kube – University of Bonn at Max Planck Institute for Research on Collective Goods, Bonn

Illusion of Control as a Source of Poor Diversification: Experimental Evidence
Gerlinde Fellner - Vienna University of Economics and Business Institute of Economic Policy and Industrial Economics