The Research On Cognitive Bias、Emotional Bias And Behavioral Bias In Financial Markets

Traditional financial theory followed the classical theory of economics paradigm,so they think the investors in the financial markets are rational,who search for the most optimize decision-making scheme always based on the most maximization principle.However,with the finance intensive study,and various abnormal economical phenomenons are found in the finance markets,more and more scholars found that the traditional theory and the economic phenomenon are not the same thing,and sometimes even opposite.In particular, with the revival of humanism, the role of the people get more and more attention, and human psychology and behavior research are rised. As market players, in the end is not such as before the economic theory assumes, is completely rational? Scholars began to be questioned. Since the person is rational being questioned, then the efficient market theory could not stand feet. Previous scholars who studied the economic and financial issues, of course, ignore the human existence, but any economic and social phenomenon, leaving the participation of people, it will become meaningless. Financial scholars began to research into the range of finance, and hope to establish the link between the two of them the behavioral finance generated in this context. This article is in such a context, focusing on investors’ cognitive, emotional and behavioral deviation angle to carry out research, analysis of the typical investor psychological bias and deviant behavior, and trying to find a series of investor behavior investment strategy, which has a good guide for the decision-making of investors.