Behavioural Finance
Know your biases. Make better decisions.
The study of cognitive errors, emotional traps, and psychological biases that cause investors to act against their own interests. Behavioural finance does not just explain market anomalies — it gives you the self-awareness to avoid the most expensive mistakes investors make.
Learning Path
School Principles
FreeThe worldview, founding assumptions, and core mental models of this school.
Foundational Lessons
FreeKey ideas, thinkers, and concepts — the essential vocabulary of this school.
System 1 and System 2 — How Your Brain Sabotages Your Portfolio
Daniel Kahneman
Loss Aversion — Why Losing Hurts More Than Winning Feels Good
Daniel Kahneman
Overconfidence — The Most Expensive Bias in Investing
Daniel Kahneman
Herding — Why Smart People Follow the Crowd Off the Cliff
Richard Thaler
Black Swans and Tail Risk — What Models Miss
Nassim Nicholas Taleb
Anchoring and Mental Accounting
Daniel Kahneman
The Disposition Effect
Daniel Kahneman
Emotions vs. Evidence in Investment Decisions
Daniel Kahneman
Practitioner Lessons
PractitionerDeeper application — how the principles of this school translate into real portfolio decisions.
Developing Emotional Discipline — The Investor's Hardest Skill
Daniel Kahneman
The Psychology of Market Cycles
Howard Marks
Narrative Investing and Media Bias — How Stories Hijack Investment Decisions
Daniel Kahneman
Identifying Your Personal Bias Profile
Daniel Kahneman
Contrarian Thinking as Bias Correction
Daniel Kahneman
Analysis Frameworks
PractitionerThe structured method for analysing businesses or markets using this school's approach.
The Behavioural Investor's Analysis Framework
Richard Thaler
Personal Bias Audit Framework
Daniel Kahneman
Market Sentiment Assessment Framework
Howard Marks
Decision Quality Evaluation Framework
Daniel Kahneman
Applied Case Studies
PractitionerHistorical investments analysed through this school's framework — what the data showed, what the thesis was, how it played out.
Advanced Lessons
AdvancedNuanced edge cases, advanced applications, and cross-school comparisons for serious practitioners.
Designing a Decision Journal — The Investor's Most Powerful Self-Improvement Tool
Daniel Kahneman
Social Proof and Information Cascades
Daniel Kahneman
Designing a Decision Journal
Daniel Kahneman
Debiasing Techniques for Serious Investors
Daniel Kahneman
Decision Systems
AdvancedEntry criteria, exit rules, position sizing, and portfolio construction principles.