من فرضية كفاءة السوق إلى التمويل السلوكي

Abstract EN

the present paper reviews two fundamental investing paradigms, which have had a substantial impact on the manner investors tend to develop their own strategies.

specifically, the study elaborates on efficient market hypothesis (emh), which, despite remaining most prominent and popular until the 1990s, is considered rather controversial and often disputed, Traditional finance suggests that investors are rational and make optimal investment decision without the effect of emotions on their decisions, and the theory of behavioural finance, which has increasingly been implemented in financial institutions.

Behavioural finance explains that investor behavior is irrational as emotions have effect on investment decision Making, based on an extensive survey of behavioural finance and emh literature, the study demonstrates, despite any assertions, the inherent irrationality of the theory of efficient market, and discusses the potential reasons for its recent decline, arguing in favor of its replacement or co-existence with behavioural finance