Behavioral Finance: 7 Biases That Cost You Money in 2026
Last updated: April 2026 Behavioral finance studies how psychological biases — loss aversion, overconfidence, herd instinct, mental accounting — systematically push investors toward irrational decisions. Founded on Daniel Kahneman and Amos Tversky’s prospect theory (1979) and expanded by Richard Thaler’s work on market anomalies, the field explains why even professionals sell winners too early, hold … Read more