Finance — corporate and capital markets — is based on the premise of optimal, rational behavior on part of market participants. Research on decision making has documented systematic deviations from optimality, even when strong incentives to optimize are present. The course will cover both the psychological insights and their applications to finance. Students who will take it will
- Improve their understanding of financial markets and the relation between human behavior and asset prices,
- Understand and improve their own decision making processes,
- Gain insights into the motives and modes of behavior of colleagues and employees,
- Acquire marketing skills especially in the financial services domain.
Robert G. Kirby Professor of Behavioral Finance
Gur Huberman is the Robert G. Kirby Professor of Behavioral Finance at Columbia Business School where he has taught since 1989. Prior to that he taught at Tel Aviv University and at the University of Chicago. Between 1993 and 1995 he was Vice President at JP Morgan Investment Management responsible for research on quantitative equity trading. In that capacity he also helped develop tax aware strategies for the...