| Kommentar |
This course introduces the students to the behavioral finance view on asset pricing. The first part of the course takes a historical perspective on development of securities markets. The second part dicusses the foundations of the efficient markets hypothesis which is the basis for the traditional "rational" view on asset pricing. The third and fourth parts focus on theoretical and empirical challenges facing the efficient markets hypothesis and consider the alternative "behavioral" interpretations of the pricing of securities. The specific topics include noise trading, investor sentiment, limits to arbitrage, overreaction and underreaction to news, excess volatility, return predictability, market boom and busts, institutional trends in market development.
Prerequisite: Grundlagen der Finanzwirtschaft I (Investition und Finanzierung) & Grundlagen der Finanzwirtschaft II (Investmentanalyse und Portfoliomanagement) |
| Literatur |
Shiller, Robert J.: "Irrational Exuberance", Verlag: Princeton University Press, 3rd Edition (2015)
Barberis, Nicholas; Thaler, Richard H.: "A Survey of Behavioral Finance", in Handbook of the Economics of Finance (ed. Constantinides, G. M.; Harris, M.; Stulz, R. M.), Verlag: North Holland (2003)
Shleifer, Andrei: "Inefficient Markets. An Introduction to Behavioral Finance", Verlag: Oxford University Press (2000) |
