The analysis of the relation between behavioral finance and demand of financial instruments-Case study of the Algerian stock market during the period of 2010-2021 -

Abstract

The purpose of the present paper is the analysis of the relation between investment risks inside the financial market (Risks associated to the market and the instability or the fluctuation of the market value specific to the financial instruments, risks of the increasing inflation rates, risks of the variation in exchange costs in case of subscription in hard currency) and the behavioral finance of the financial investors, then the purchase requisition rate for the financial instruments exported inside the stock market through a case study of the Algiers stock exchange. In addition to the study of the main ends of competence theory associated to stock markets (the theory which interests to the relation between the random movements of market costs specific to financial instruments inside the secondary market and the fluxing data) which represents the rationality of investors and free data that leaded to the creation of the behavioral finance which aims to explain the fluctuation of share incomes.