Published Online:September 2024
Product Name:The IUP Journal of Financial Risk Management
Product Type:Article
Product Code:IJFRM040924
Author Name:Sameer Khan, Hitesh Goyal and Vipin Kumar Meena
Availability:YES
Subject/Domain:Finance
Download Format:PDF
Pages:55-71
Behavioral finance explores how psychological biases and cognitive limitations influence financial decision-making, challenging the assumptions of traditional finance theories. It is frequently used in the domain of financial risk management, gaining great insights into diversification strategies and their effectiveness. This paper presents a bibliometric analysis of key literature on behavioral finance from 2008 to 2023, examining investor behavior, market anomalies, and emerging trend. The paper identifies research patterns and gaps in the area using bibliometric analysis and keyword co-occurrence mapping. This review contributes to the growing discourse on behavioral finance by providing a structured analysis of past research and outlining future directions for empirical validation and policy implications.
Behavioral finance is a paradigm shift in the understanding of financial markets, decisionmaking, and the complex interplay between human psychology and economic behaviors. Traditional finance theories have long been based on the rationality of market participants and the efficiency of markets, as encapsulated by the Efficient Market Hypothesis (EMH).