Speaker
Description
Behavioral finance has shaped recent years of research by shedding light on how financial decisions are influenced by investors’ cognitive and emotional biases. Our paper offers an integrative approach to recent literature, combining bibliometric and systematic perspectives to capture the dynamics of research and the emerging evolution of the field. The bibliometric component highlights an accelerated growth in academic interest in the study of investor behavior, supporting thematic polarization and the crystallization of author collaboration clusters. This section traces the trajectory of behavioral finance over the past five decades, outlining the key research areas. The core of this paper lies in the systematic analysis of the literature. This section consists of two pillars. The first proposes an analysis of antecedents, decisions, and outcomes, while the second focuses on the financial theories addressed, the geographical context, and the methods used to quantify market emotions. The methodology of this paper combines the PRISMA structure with a descriptive analysis and uses the ADO-TCM and PICO qualitative analysis frameworks, which encapsulate the most relevant contributions to behavioral finance research. The study’s findings reveal the persistence of recurring behavioral patterns. Risk perception, herd behavior, disposition bias, and investor overconfidence are prevalent in the behavioral landscape of the capital market. Educational level, gender, wealth status, and investment experience round out an individual’s behavioral profile. Prospect theory leads the American and Indian fronts as central research hubs. Methodological diversity, dominated by statistical and factor modeling, extends beyond investment decisions through the application of robo-advisor consulting. The interdisciplinary trend observed in the interpretation of psychological concepts, neuroscience, and experimental finance converges toward a comprehensive understanding of financial behavior. In the context of an irrational market, our analysis underlines a series of tensions and gaps in the existing literature, along with conceptual fragmentation, reliance on controlled experimental settings, and the fragility of existing predictive models. In this way, this research focuses on reconfiguring the approach to behavioral finance, oriented toward adapting behavioral theory to the dynamics of financial innovation and high-impact anomalies.
