Behavioral Finance Part 1: Introduction and Financial Decision-Making (Video) (Course Id 2484)

• Who is this course for?
  This course is for anyone needing Continuing Professional Education (CPE), including CPAs, accountants, and financial professionals at an overview experience level.

• What is this course about or what problem does this course solve?
  The course introduces behavioral finance and addresses how irrational behaviors and cognitive biases affect financial decision-making, challenging the assumptions of traditional finance.

• How can the knowledge from this course be used?
  Learners can use this knowledge to recognize and reduce thinking errors in financial decisions, enhancing both personal and professional financial strategies.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  It helps financial professionals understand and mitigate irrational client behavior and improve advisory effectiveness by integrating behavioral insights into financial planning.

• When is this course relevant or timely?
  This course is relevant in any financial environment where understanding client behavior and decision-making processes can enhance outcomes; it's especially timely given its 2025 release and growing interest in behavioral finance.

• How is a course like this consumed or used?
  The course is delivered as a QAS Self Study video and text format, requiring no prerequisites, and includes review questions, a final exam, and is completed online for 1.0 CPE credit.

Behavioral finance has shown that all people, even financial experts, are prone to making irrational and suboptimal financial decisions. It also explores how people have wants that extend far beyond traditional finances' assumption of wanting the highest return at the lowest risk. We are not perfectly rational economic robots; we are easily driven by many wants and emotions while working with limited time, knowledge, and energy.

This course is the first of a three-part course series on behavioral finance. The three parts are:

• Part 1: Introduction and Financial Decision-Making
• Part 2: Thinking Errors and Rules of Thumb
• Part 3: Application to Business and Personal Finance

This course begins with the emergence of behavioral finance, which includes an overview of traditional finance and how behavioral finance challenges and augments traditional finance concepts. Next is a short section that talks about the ways in which we think about finances and how we make financial decisions.

You'll learn from an author that teaches these concepts to MBA students at a university as well as to business advisors and staff. He is a CPA that's been a CFO of multiple companies. Rob also has a master's degree in personal financial planning and a graduate certificate in financial therapy. He served as program manager for a group of investment advisors.

This is one of 3 courses (Behavioral Finance Part 1, 2, & 3) that contain the same content as my Behavioral Finance 5.0 credit Text and Video courses.  They may be considered duplicates if submitted for CPE credits in the same reporting period as either of the 5.0 credit Behavioral Finance CPE courses.

Video - NASBA QAS - Text - NASBA Registry - 2484

Course Learning Objectives

Chapter 1 - Behavioral Finance Part 1: Introduction and Financial Decision-Making

Chapter 1 Review Questions

Glossary/Index