Behavioral Economics Education Module

Behavioral Economics: Understanding the Mind Behind Financial Decisions

This module introduces you to the emerging field of behavioral and neuroeconomics, exploring how psychology, brain function, and cognitive biases shape financial decisions. You’ll uncover how human behavior interacts with markets, investment strategies, and the advisory process, helping you make more informed and strategic choices.

We begin by examining the foundations of neuroeconomics, explaining the basics, objectives, and key brain processes that influence decision-making. You’ll learn why the mind sometimes deviates from rational choice and how these tendencies impact investment behavior, particularly in complex markets like alternative assets.

From there, the module dives into cognitive biases—including confirmation bias, overconfidence, anchoring, unconscious biases, and loss aversion. You’ll explore the gender factor in financial perception, advances in neural understanding, and how these insights explain patterns of risk-taking, evaluation, and portfolio decision-making.

Practical tools and mitigation strategies are also covered, from differentiating thought processes to applying behavioral economics frameworks ethically. The module also examines genetic inclinations, evolution, and epigenetics, providing a scientific perspective on why humans behave as they do in financial contexts.

By the end, you’ll gain a clear understanding of the psychological forces that shape investment behavior, how to recognize and manage biases, and how to use behavioral insights to make smarter, more confident financial decisions.

Includes: Behavioral Economics Self-Reflection Survey, Investing Terminology and Jargon