Financial Consequences of Behavioural Biases

Imad A. Moosa is Professor of Finance at RMIT University, Australia. Before coming to academia, he worked in investment banking for a period of ten years. He has published extensively in both economics and finance.Vikash Ramiah is Associate Professor of Finance at the University of South Australia. He has published extensively in behavioural and environmental finance, and he is a research fellow for the Institute of Global Business and Society, TH Köln, and Tianjin Academy of Environmental Sciences.

• 1. The Rise and Fall of Neoclassical Finance.- 2. The Rise and Rise of Behavioural Finance.- 3. Overconfidence and Self-Serving Bias.- 4. Loss Aversion Bias, the Disposition Effect and Representativeness Bias.- 5. Other Biases in the Behavioural Finance Literature.- 6. Recent Developments.- 7. Epilogue.