Some mutual funds have started behavioral finance funds that attempt to use insights from behavioral finance in

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Some mutual funds have started behavioral finance funds that attempt to use insights from behavioral finance in choosing stocks. According to an article in the New York Times:

Emotions cause investors to misjudge the impact of events in systematic ways. . . .

Identifying those patterns and trading against them, the [fund] managers say, allows them to enhance performance.

Is the strategy these fund managers are using consistent with the efficient markets hypothesis?

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Related Book For answer-question

Money Banking And The Financial System International Edition

ISBN: 978-1292000183

2nd Edition

Authors: R. Glenn Hubbard ,Anthony P Obrien

Question Posted: Mar 16, 2024 11:00 PM

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Some mutual funds have started behavioral finance funds that attempt to use insights from behavioral finance in

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Money Banking And The Financial System International Edition

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