ECTS - Behavioral Finance
Behavioral Finance (ISL314) Course Detail
| Course Name | Course Code | Season | Lecture Hours | Application Hours | Lab Hours | Credit | ECTS |
|---|---|---|---|---|---|---|---|
| Behavioral Finance | ISL314 | Area Elective | 3 | 0 | 0 | 3 | 5 |
| Pre-requisite Course(s) |
|---|
| NO |
| Course Language | Turkish |
|---|---|
| Course Type | Elective Courses |
| Course Level | Bachelor’s Degree (First Cycle) |
| Mode of Delivery | Face To Face |
| Learning and Teaching Strategies | Lecture, Demonstration, Discussion. |
| Course Lecturer(s) |
|
| Course Objectives | The primary objective of this course is to offer a comprehensive overview of the behavioral foundations underlying financial decision-making and their practical applications within the field of finance. Behavioral finance, an emergent yet rapidly expanding discipline, endeavors to elucidate economic decisions that deviate from the predictions of traditional economic and financial theories. This field provides insights into various seemingly irrational and inconsistent patterns observed in investor behavior, financial markets, and corporate management, thereby complementing conventional paradigms. |
| Course Learning Outcomes |
The students who succeeded in this course;
|
| Course Content | The course begins with an examination of standard finance theories, with a particular focus on the efficient market hypothesis. Subsequently, it addresses a range of financial market phenomena that are challenging to explain through traditional theories alone covering cognitive biases and heuristics. The course then transitions to more realistic market dynamics, exploring alternative theoretical frameworks to enhance our understanding of the observed behaviors in financial markets and among thei |
Weekly Subjects and Releated Preparation Studies
| Week | Subjects | Preparation |
|---|---|---|
| 1 | Introduction to the course | Gain information about the general content and fundamental concepts of the course. |
| 2 | Rational Markets Hypothesis and the Challenge by Behavioralists | Research the core concepts of the Efficient Market Hypothesis and Behavioral Finance. |
| 3 | Foundations of Rational Finance | Learn the fundamentals and main principles of Rational Finance. |
| 4 | Prospect Theory and Mental Accounting | Gather information on Expectation Theory and Mental Accounting concepts. |
| 5 | Prospect Theory and Mental Accounting Cont’d. | Obtain deeper knowledge on Expectation Theory and Mental Accounting. |
| 6 | Challenges to Efficient Market Hypothesis | Research criticisms and challenges to the Efficient Market Hypothesis. |
| 7 | Heuristics and Biases | Collect information on applications and theories related to heuristics and biases. |
| 8 | Midterm Week | Review and summarize previous topics in preparation for the midterm exam. |
| 9 | Heuristics and Biases Cont’d. | Acquire detailed information on heuristics and biases and review relevant applications. |
| 10 | Overconfidence | Learn about overconfidence and its effects, and research examples. |
| 11 | Emotional Factors and Social Forces | Gather information on the impact of emotional factors and social forces on investment decisions. |
| 12 | Investor Behavior | Study investor behavior and its effects on the market. |
| 13 | Market Outcomes | Investigate market outcomes and the impact of Behavioral Finance on markets. |
| 14 | Behavioral Corporate Finance | Learn about Behavioral Corporate Finance topics and review examples. |
| 15 | Review | Review and summarize all course topics. |
| 16 | Final Exam | Revise all topics and prepare thoroughly for the final exam. |
Sources
| Course Book | 1. Kıyılar, M. & Akkaya, M. (2016) Davranışsal Finans, Literatür Yayınevi. |
|---|---|
| Other Sources | 2. Nofsinger, J.R. (2014). Yatırım Psikolojisi, Çev. Gazel, Sümeyra, Nobel Yayınevi. |
Evaluation System
| Requirements | Number | Percentage of Grade |
|---|---|---|
| Attendance/Participation | - | - |
| Laboratory | - | - |
| Application | - | - |
| Field Work | - | - |
| Special Course Internship | - | - |
| Quizzes/Studio Critics | - | - |
| Homework Assignments | - | - |
| Presentation | - | - |
| Project | 1 | 20 |
| Report | - | - |
| Seminar | - | - |
| Midterms Exams/Midterms Jury | 1 | 40 |
| Final Exam/Final Jury | 1 | 40 |
| Toplam | 3 | 100 |
| Percentage of Semester Work | 60 |
|---|---|
| Percentage of Final Work | 40 |
| Total | 100 |
Course Category
| Core Courses | |
|---|---|
| Major Area Courses | X |
| Supportive Courses | |
| Media and Managment Skills Courses | |
| Transferable Skill Courses |
The Relation Between Course Learning Competencies and Program Qualifications
| # | Program Qualifications / Competencies | Level of Contribution | ||||
|---|---|---|---|---|---|---|
| 1 | 2 | 3 | 4 | 5 | ||
| 1 | Having the conceptual and applied knowledge about the basic functions of the business and gaining the ability to use the knowledge | X | ||||
| 2 | To be able to diagnose the problems related to the field of business, to use scientific approaches effectively in the solution of problems and decision-making processes. | X | ||||
| 3 | To be able to reveal and analyze the environmental, social, global effects and legal consequences of the applications related to the basic functions of the business. | |||||
| 4 | To be able to analyze information and reports that concern businesses at the national, regional and global level, to set strategic goals according to the results obtained | |||||
| 5 | Gain the ability to use, report and interpret Business Information Systems and sub-modules required by business management | |||||
| 6 | Planning necessary activities such as starting a new business with innovative and creative thinking and taking risks for the sustainability of the business, finding resources, making market analysis, preparing a business plan, and using the learned information in this direction. | |||||
| 7 | Being aware of the fact that the research and learning process continues throughout life, to be able to follow the scientific and technological developments related to the business, to support oneself and the organization in innovation and continuous development. | |||||
| 8 | To have the necessary leadership and managerial skills to achieve business objectives effectively and efficiently. | |||||
| 9 | To be able to conduct scientific research in the field of business and report the results of the research to be used in managerial decision-making processes. | X | ||||
| 10 | To be able to transfer information about the field of business using effective verbal, written and visual communication methods in the language of learning and professional English | |||||
| 11 | To be aware of professional ethics, environmental awareness, sustainability, social responsibility, cultural, social and universal values | X | ||||
| 12 | Working effectively with different disciplines or multicultural teams, taking responsibility, making risk analysis, adapting to change, critical thinking and using initiative in problem solving | X | ||||
| 13 | . | |||||
ECTS/Workload Table
| Activities | Number | Duration (Hours) | Total Workload |
|---|---|---|---|
| Course Hours (Including Exam Week: 16 x Total Hours) | 16 | 3 | 48 |
| Laboratory | |||
| Application | |||
| Special Course Internship | |||
| Field Work | |||
| Study Hours Out of Class | 14 | 2 | 28 |
| Presentation/Seminar Prepration | |||
| Project | 1 | 14 | 14 |
| Report | |||
| Homework Assignments | |||
| Quizzes/Studio Critics | |||
| Prepration of Midterm Exams/Midterm Jury | 1 | 10 | 10 |
| Prepration of Final Exams/Final Jury | 1 | 25 | 25 |
| Total Workload | 125 | ||