Question 8 (4 points): The disposition effect is a behavioral finance bias in which investors tend to hold on to loser stocks (i.e. stocks that underperform and have decreased in value) for a longer holding period while they tend to sell winner stocks (i.e. stocks that overperforms and have appreciated in value) much sooner. Based on your knowledge of behavioral finance and prospect theory, explain WHY do you think that is often the case. Question 8 (4 points): The disposition effect is a behavioral finance bias in which investors tend to hold on to loser stocks (i.e. stocks that underperform and have decreased in value) for a longer holding period while they tend to sell winner stocks (i.e. stocks that overperforms and have appreciated in value) much sooner. Based on your knowledge of behavioral finance and prospect theory, explain WHY do you think that is often the case