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What is Behavioral Finance?

By Lee Samaha – Updated Oct 25, 2024 at 10:19AM

Key Points

  • Understanding behavioral finance can boost your investing by reducing common decision-making errors.
  • Investors often exhibit risk aversion in gains and risk-seeking in losses, impacting choices.
  • Addressing biases like confirmation and overconfidence can refine investment strategies.
Key findings are powered by ChatGPT and based solely off the content from this article. Findings are reviewed by our editorial team. The author and editors take ultimate responsibility for the content.

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