In this book, a splendid synthesis of recent research, William Forbes lays out the fundamentals of behavioral finance. Behavioral finance is still a young field, but it has revolutionized our understanding of how financial decisions are made. Forbes illuminates the immense importance of the human element to financial theory and practice."Werner De Bondt, Professor and Director, Richard H. Driehaus Center for Behavioral Finance, DePaul University, Chicago, IL, USA.Behavioural finance has moved from the confines of technical journals to being offered as a course on graduate and undergraduate degrees in finance. What was missing was a comprehensive textbook introduction to this important and growing field. William Forbes' book fills in this gap. It is a superb synthesis of the theoretical and empirical literature on behavioural finance. It provides a self-contained and broad-based introduction to the various facets of this sub-field - an outstanding textbook that should be on every reading list.Professor Abhay Abhyankar, Baillie Gifford Chair of Financial Markets, University of Edinburgh Business School, UK.'Engrossing, rigorous and comprehensive - this book will be a great basis for teaching courses in behavioural finance'Robert Hudson, Professor of Finance, Newcastle University Business School, UK.* Behavioural Finance meets the growing demand for an introductory level textbook that can be used by students on advanced undergraduate and postgraduate courses.* Provides a range of UK and European examples, whereas most of the existing books include primarily examples from North America.* Examples of FTSE 100 and S&500 companies provide the reader with an appreciation of everyday problems faced by finance [...] will be a website accompanying the book [...] with PowerPoint slides, spreadsheets and a document containing web links and References.