This is a PDF file of 'A Literature Review of Risk Perception Studies in Behavioral Finance: The Emerging Issues' slides from a presentation at the 25th Annual Meeting of the Society for the Advancement of Behavioral Economics (SABE) Conference hosted by New York University on May 15-18,...

A significant topic within the behavioral finance literature is the notion of perceived risk pertaining to novice investors (i.e. individuals, finance students) and investment professionals (i.e. financial planners, security analysts). The author provides an overview of the concepts of risk,...

The notion of risk encompasses a wide range of meanings across different disciplines, notably the social sciences and business administration fields. Within academic finance, the focal point of traditional (or standard) finance researchers involves the objective nature of risk. This traditional...

Since the mid-1970s, hundreds of academic studies have been conducted in risk perception-oriented research within the social sciences (e.g., nonfinancial areas) across various branches of learning. The academic foundation pertaining to the quot;psychological aspectsquot; of risk perception...

This paper tells the story of a student of economics and finance who meets a couple of alleged psychopaths, suffering from the ‘syndrome of Zelig’, so that they think of themselves to be experts of economic and financial issues. While speaking, they come across the concept of excess profit....

A widely held belief in financial economics suggests that stock prices always adequately reflect all available information. Price movements away from fundamentals are assumed to occur only infrequently, if at all. „False“ prices are supposed to be corrected by the counter-actions of...

Eine ethisch sensibilisierte Sichtweise auf die Finanzmaerkte und den von dort ausgehenden externen Effekten gibt Anlass zur tiefgruendigen Hinterfragung finanzwirtschaftlicher Wert- und Normengefuege. Die kritische Finanzethik praesentiert sich als Unterstuetzerin in diesem Prozess, indem sie...

Counterfactual conditionals are cognitive tools that we incessantly use during our lives for judgments, evaluations, decisions. Counterfactuals are used for defining concepts as well; an instance of this is attested by the notions of opportunity cost and excess profit, two all-pervasive notions...

The theoretical concept of agency costs developed by Jensen and Meckling (1976) and Jensen (2005) are used to study the assumed relationship between the quality of a firm's governance and its decision to issue a profit warning (PW), when it is overvalued. Based on a sample of Canadian companies...