Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 1 of 7
An investor is asked to choose between:
A. An assured gain of $400
B. A 25% chance of gaining $2,000 and a 75% chance of gaining nothing
The investor chooses option A.
It's likely the investor is exhibiting: A. no bias
B. loss-aversion bias
C. over-confidence bias
User Contributed Comments 1
| User | Comment |
|---|---|
| thevinu | How is it loss-aversion when the investor is not going to make any loss. |
I was very pleased with your notes and question bank. I especially like the mock exams because it helped to pull everything together.
Martin Rockenfeldt
Learning Outcome Statements
discuss commonly recognized behavioral biases and their implications for financial decision making
CFA® 2025 Level I Curriculum, Volume 6, Module 5.