We propose a theory of securities market under‐and overreactions based on two well‐
known psychological biases: investor overconfidence about the precision of private …

We propose a theory based on investor overconfidence and biased self-attribution to explain
several of the securities returns patterns that seem anomalous from the perspective of …

Recently, several behavioral finance models based on the overconfidence hypothesis have
been proposed to explain anomalous findings, including a short-term continuation …

Using detailed survey data of 384 Indian investors, the study examines whether self-
attribution bias and overconfidence bias exist in Indian stock market and also whether …

We review extensive evidence about how psychological biases affect investor behavior and
prices. Systematic mispricing probably causes substantial resource misallocation. We argue …

We propose a theoretically motivated factor model based on investor psychology and
assess its ability to explain the cross-section of US equity returns. Our factor model …

The basic paradigm of asset pricing is in vibrant flux. The purely rational approach is being
subsumed by a broader approach based upon the psychology of investors. In this approach …

Recent empirical research in finance has uncovered two families of pervasive regularities:
underreaction of stock prices to news such as earnings announcements, and overreaction of …

Two conflicting behavioral models, underreaction and overreaction, have been proposed to
explain long‐run abnormal returns following a variety of corporate events. We test …

Contemporary research documents various psychological aspects of economic and financial
thought and decision-making. The main goal of our study is to analyze the effects of five well …