incorporate behavioural finance into their analysis of an investor’s portfolio. The use of behavioural finance concepts will create the following opportunities for HelloWallet. Availability Bias: People will be influenced more by what they can easily retrieve from memory. Availability bias is a human cognitive bias‚ which causes us to overestimate probabilities of events associated with memorable occurrences. A prime example of this would be plane crashes. Plane crashes are extremely rare; however
Premium Cognitive bias Investment
The film begins telling the story of Kwan-soo‚ a champion swimmer with some bad habits. Before his training starts‚ he goes with some friends in a village with some friends‚ where he spends his days playing cards and drinking. He delays coming to the training camp for eleven days‚ and when he finally returns‚ he is brutally beat by his coach‚ in an act that makes him resign swimming altogether. Subsequently‚ he calls a reporter named Young-hoon‚ he met during his "wild" days and asks him to write
Premium
What appears on the next page is a graph representing “aggregation bias” in data. Per Bakken’s report‚ he assumes that there are no differences between stand-alone retail properties (such as Walgreens) and strip-mall retail properties. He even uses a case study to “prove” that there are no differences in rents between strip and stand-alone retail properties. However‚ by looking at the graph on the next page‚ it is possible to find a stand-alone retail property (from Submarket B) that overlaps with
Premium Statistics Median Standard deviation
Hindsight bias: Hindsight bias is when you know something right after it happens and not while it is happening. Some people call it the I-knew-it-all-along phenomenon. This is where you watch a sports game and when the game is over‚ think to yourself that you knew they would loose‚ when in fact you were on the edge of your seat waiting to see how the game was going to end and if your team would win or not. (Myers‚ 2010‚ p.16.) I have had several instances where hindsight bias has
Premium 2007 singles Cognition Hindsight bias
confirmation bias can easily influence our perceptions and holding certain beliefs can also generate their own confirmation; regardless of the statistics‚ facts‚ or proof. Our preconception of our society‚ world‚ or even any given situation will greatly influence how we will interpret those things and situations or by the beliefs that we hold. Since most people tend to side with information that confirms how they may perceive a situation‚ a good example could be gun control and the bias that may arise
Premium Critical thinking Epistemology Availability heuristic
Suetonius "The Twelve Cesars" If a friend asked me to tell him if it is worth it to read Suetonius’ book "The Twelve Cesars"‚ I would say it is. This book‚ though old‚ is still very interesting and informative today. It is important to note however‚ that the writing style of Suetonius’ day was much different from our own. Some readers might be confused and exasperated with Suetonius’ diction and syntax. He uses very long expressions and details to describe people and events that may not even be
Premium Roman Empire Julius Caesar Roman Republic
Detecting Media Bias Jeffrey E. Ferreiras University of Phoenix Critical and Creative Thinking 16 December 2012 Aimee Nichols When reading the media one must always consider that media may be bias‚ people may have incentives or hidden agendas and the facts may be conflicting. In order to properly evaluate and decide what information makes sense and what seems like a lie the audience should practice critical reading. A critical reader is able to separate fact from interpretation; to
Premium Taxation in the United States Critical thinking Mass media
Running head: Heuristics and Bias Heuristics and Bias Ebony J. Travis American Intercontinental University Professor Walter McCord Decision Making BUS300-0704A-03 October 27‚ 2007 Volvo: A Consumer’s Choice As an employee of It’s Electric‚ I have been delegated the assignment of picking a line of automobiles to use as company cars. On the grounds of economy and longevity‚ I am looking to purchase Volvo’s after some research on Consumer Reports. Through an exclusive fleet program
Premium Volvo Cars Cognitive bias Availability heuristic
Twelve Who Ruled Book Review The year of terror is one of the most complex and misunderstood periods in the French Revolution. Palmer‚ in his book‚ Twelve Who Ruled‚ however‚ takes this period and skillfully turns it into a written masterpiece. The book is narrated from the point of view of someone with an omniscient knowledge of the subject matter‚ who is reflecting back on the period from the outside. The book tells the story of a brief moment in history when twelve men (Robespierre
Premium French Revolution Reign of Terror Committee of Public Safety
EDU 5000 Gender Bias in the STEM Fields March 7‚ 2012 In a society that is heavily reliant on jobs related to math‚ science and technology‚ it is essential that women have the knowledge and background to compete in the global economy. An early foundation in these subject areas is vital‚ but why do girls avoid them at a young age? This paper will examine the gender gap in the STEM fields: Science‚ Technology‚ Engineering‚ and Math and the implications that society‚ parents
Premium Stereotype Gender Stereotypes