Preface. <p>Acknowledgments.</p> <p>About the Author.</p> <p>Introduction.</p> <p><b>Part I: Foundations.</b></p> <p><b>Chapter 1: Markets on the Mind.</b></p> <p>Analysts and Dart Boards.</p> <p>Developing Better Expectations.</p> <p>“The Wisdom of the Collective”</p> <p>Meteorological Anomalies and Other Animal Spirits.</p> <p>Sentiment.</p> <p><b>Chapter 2: Brain Basics.</b></p> <p>Damasio and the Iowa Gambling Task.</p> <p>The Brain: Structure and Function.</p> <p>The Brain-Damaged Investor.</p> <p>Research Methods.</p> <p>Neuroscience Preview.</p> <p><b>Chapter 3: Origins of Mind.</b></p> <p>Emotions and Perceptions.</p> <p>Expectations and the Comparator.</p> <p>Counterfactual Comparisons.</p> <p>Beliefs and Expectations: The Placebo Effect.</p> <p>Making Sense of the News.</p> <p>Self-Deception.</p> <p>Emotional Defense Mechanisms and Motivated Reasoning.</p> <p><b>Chapter 4: Neurochemistry.</b></p> <p>Introducing the Neurotransmitters.</p> <p>Serotonin.</p> <p>Dopamine.</p> <p>Norepinephrine.</p> <p>Opiates.</p> <p>Stress Hormones.</p> <p>Caffeine.</p> <p>GABA, Acetylcholine, and Omega-3 Fatty Acids.</p> <p>The Chemistry of (Financial) Mental Disorders.</p> <p>The Neurochemistry of Financial Performance.</p> <p>Serotonin and Market Bubbles.</p> <p>Recreational Drugs and Alcohol.</p> <p>Alcohol.</p> <p>Cocaine.</p> <p><b>Part II: Feelings and Finances.</b></p> <p><b>Chapter 5: Intuition.</b></p> <p>Analysis and Intuition.</p> <p>Investment Practice.</p> <p>What Does Your "Gut" Tell You?</p> <p>Listening Without Thinking.</p> <p>Intuition and Emotion in Investing.</p> <p>Emotional Intelligence.</p> <p>Subliminal Emotion.</p> <p>Stirring the Unconscious.</p> <p><b>Chapter 6: Money Emotions.</b></p> <p>Emotional Biases.</p> <p>The Difference between Positive and Negative Feelings.</p> <p>Regret as a Self-Fulfilling Prophecy.</p> <p>An Amicable Divorce.</p> <p>Sadness and Disgust.</p> <p>Fear and Anger.</p> <p>Projection Bias.</p> <p>Managing Feelings.</p> <p>Summary.</p> <p><b>Chapter 7: Excitement and Greed.</b></p> <p>Brokers Kindle Irrational Exuberance.</p> <p>The Anatomy of Stock Hype.</p> <p>Greed: The Basics.</p> <p>The BIAS Task.</p> <p>The Nucleus Accumbens.</p> <p>Excited About a Good Deal.</p> <p>Improving Biased Decision Making.</p> <p>Greed in the Markets.</p> <p><b>Chapter 8: Overconfidence and Hubris.</b></p> <p>The Psychology of Hubris.</p> <p>Overconfidence.</p> <p>Illusion of Control.</p> <p>Winning Changes the Brain.</p> <p>The Neurochemistry of Exploration.</p> <p>One Who Knows: Christian Siva-Jothy.</p> <p>Confidence—the "Good" Kind.</p> <p>Solutions.</p> <p><b>Chapter 9: Anxiety, Fear, and Nervousness.</b></p> <p>Climbing a Wall of Worry.</p> <p>Dread in the MRI.</p> <p>Nature versus Nurture.</p> <p>It’s All in Your Head.</p> <p>Empathy Gaps.</p> <p>Pain Relief.</p> <p>Investment Lessons.</p> <p>Of Hurricanes, Risk Perceptions, and Opportunity.</p> <p>Summary.</p> <p><b>Chapter 10: Stress and Burnout.</b></p> <p>Stress.</p> <p>Cramer on Stress.</p> <p>Choking for Rupees.</p> <p>Which Goes Wrong—the Brains or the Brawn?</p> <p>Stress and Trend Perception.</p> <p>Neurochemistry of Stress.</p> <p>Biological Effects of Stress.</p> <p>Adrenaline Junkies.</p> <p>Managing Investment Stress.</p> <p>Summary.</p> <p><b>Chapter 11: Love of Risk.</b></p> <p>Knowing When to Fold ‘Em.</p> <p>Pathological Gambling.</p> <p>The Gambler’s Brain.</p> <p>Ought to Know Better.</p> <p>Reducing Gambling.</p> <p>Summary.</p> <p><b>Chapter 12: Personality Factors.</b></p> <p>The "Big Five."</p> <p>Extraversion versus Introversion.</p> <p>Neuroticism versus Emotional Stability.</p> <p>Conscientiousness versus Impulsiveness.</p> <p>Openness to New Experiences versus Traditionalism.</p> <p>Agreeableness versus Self-interest.</p> <p>The Genetics of Personality.</p> <p>Investing Personality.</p> <p>Neurotic Investors.</p> <p>Extraverted, Open, and Conscientious Investors.</p> <p>Other Personality Research.</p> <p>Trading Psychology.</p> <p><b>Part III: Thinking about Money.</b></p> <p><b>Chapter 13: Making Decisions.</b></p> <p>Expected Value and Expected Utility.</p> <p>The Jackpot Trap.</p> <p>Probability Misjudgments.</p> <p>Vividness, Imagination, and Desire.</p> <p>Ambiguity and Uncertainty.</p> <p>Ambiguity in the Markets.</p> <p>Neuroscience of Ambiguity, Risk, and Reward.</p> <p>The Possibility that You are Overweight.</p> <p>The Trusting Brain.</p> <p>Neuroscience of the Ultimatum Game.</p> <p>The Trust Hormone.</p> <p>Implications.</p> <p><b>Chapter 14: Framing Your Options.</b></p> <p>The Disposition Effect.</p> <p>A Father-Son Stock Sale.</p> <p>Teasing out the Problem.</p> <p>Framing Risk.</p> <p>A Frame in the Membrane.</p> <p>Holding Losers: "Double-or-Nothing!"</p> <p>Differences in Aversion.</p> <p>Letting Winners Ride.</p> <p>Summary.</p> <p><b>Chapter 15: Loss Aversion.</b></p> <p>Neuroscience of Loss Aversion.</p> <p>The Equity Premium Puzzle.</p> <p>The Implied Put Option.</p> <p>Overcoming Loss Aversion.</p> <p>The House Money Effect.</p> <p>Lessons from the Pope.</p> <p>Comments from Soros, Tudor, and Cramer: "Booyah!"</p> <p><b>Chapter 16: Time Discounting.</b></p> <p>Get Your Hand out of the Cookie Jar.</p> <p>Brain Basis of Delayed Gratification.</p> <p>Chemical Impulses.</p> <p>Monkey Business.</p> <p>Making a Killing in the Options Pit.</p> <p>Improving Self-Control.</p> <p>In Practice.</p> <p><b>Chapter 17: Herding.</b></p> <p>Herding.</p> <p>Social Proof.</p> <p>Social Comparison.</p> <p>Asch and Conformity.</p> <p>Information Cascades.</p> <p>Stanley Milgram and the Shocking Truth.</p> <p>Nice Clothes, Fast Cars, and Fancy Titles.</p> <p>The Neuroscience of Cooperation.</p> <p>Analysts' Abuse of Authority.</p> <p>The Herding Habit.</p> <p>Living the Contrarian Lifestyle.</p> <p>Advice for Herd Animals and Trend Followers.</p> <p>Advice for Investment Committees.</p> <p><b>Chapter 18: Charting and Data Mining.</b></p> <p>Artificial Neural Networks.</p> <p>Data Mining and Self-deception.</p> <p>Finding Patterns in the Noise.</p> <p>The Trend and Mean-reversion Biases in Chart Reading.</p> <p>Overreliance on Charts.</p> <p>The Gambler's Fallacy.</p> <p>Irrational Exuberance . . . Called Too Early.</p> <p>The Soochow Gambling Task.</p> <p>The Learned Caudate.</p> <p>Patterns in Earnings Reports.</p> <p>Fooled by Randomness.</p> <p><b>Chapter 19: Attention and Memory.</b></p> <p>Terminal Illness.</p> <p>Representative Returns.</p> <p>Fond Memories.</p> <p>Beating the Hindsight Bias.</p> <p>Attention Deficit.</p> <p>Keep Your Eye on the Pills.</p> <p>What's in a Name?</p> <p>China Prosperity Internet Holdings.</p> <p>"All that Glitters."</p> <p><b>Chapter 20: Age, Sex, and Culture.</b></p> <p>Emotional Memories.</p> <p>The Female Brain: Estrogen, Emotion, and Cooperation.</p> <p>Financial Planning for Divorcees.</p> <p>Male Overconfidence.</p> <p>Age.</p> <p>The Seattle Longitudinal Study of Adult Development.</p> <p>Culture (East and West).</p> <p>Chinese Risk Takers.</p> <p>Biases Among Chinese Stock Traders.</p> <p><b>Part IV: In Practice.</b></p> <p><b>Chapter 21: Emotion Management.</b></p> <p>Do it for Love, Not Money.</p> <p>Money Changes You.</p> <p>Emotional Defenses.</p> <p>The Pursuit of Happiness.</p> <p>Neuroplasticity.</p> <p>Chemical Stabilizers.</p> <p>Self-discipline.</p> <p>Creating a Decision Journal.</p> <p><b>Chapter 22: Change Techniques.</b></p> <p>Dealing with Fearful and Overconfident Clients.</p> <p>Cognitive-behavioral Therapy and Stress Management.</p> <p>Yoga, Meditation, and Lifestyle.</p> <p>Simple Stress Reduction.</p> <p>Getting Out of a Slump.</p> <p>Trading Coaches.</p> <p>Flavia Cymbalista.</p> <p>Denise Shull.</p> <p>Modeling Others.</p> <p>Growing Happier.</p> <p>Neurofeedback.</p> <p>Maintain "Learning Goals."</p> <p><b>Chapter 23: Behavioral Finance Investing.</b></p> <p>Harvesting Risk Premia.</p> <p>Risk Premia and Expectations.</p> <p>Value versus Glamour.</p> <p>Momentum, Size, and the Optimal Portfolio.</p> <p>"Buy on the Rumor and Sell on the News."</p> <p>Limits to Arbitrage.</p> <p>Behavioral Finance Fund Performance.</p> <p>Behavioral Investment Products.</p> <p>Final Notes.</p> <p>Notes.</p> <p>Glossary.</p> <p>Index.</p>