The psychology of financial decisions
Module 0
Introduction
Module 1
Family budget management
Module 2
Basics of financial decision-making: Financial instruments, characteristics, core variables and decision criteria
Module 3
Financial decision-making by entrepreneurs, businesspersons and professionals
Module 4
The psychology of financial decisions
Module 5
The interpretation of economic-financial information
Module 6
The quantification of the economic financial information
Module 7
The role and functions of the financial system
Module 8
The digital transformation process
Module 9
The legal framework
Module 10
The use of means of payment
Module 11
Deposits
Module 12
Loans and credit facilities
Module 13
Fixed income
Module 14
Equity securities
Module 15
Collective investment undertakings
Module 16
Retirement products
Module 17
Other financial products and services
Module 18
Exercises
Financial institutions offer a vast catalogue of instruments to choose from, without forgetting that those instruments are designed to address different situations. Before arranging a financial transaction, we must make sure that it is the one that best suits our needs (savings, credit, coverage of risky situations, etc.).
The choice of a specific product must be based on an overall appreciation of all its implications throughout the life of the product, within which three basic stages can be distinguished:
- Purchasing and formalization;
- Realization of financial flows (money inflows or outflows) expected over time, and
- Completion and settlement.
Furthermore, when choosing the product, the psychological aspect also plays an important role, since depending on the psychological profile of the person who is purchasing it and the environment in which they operate, a specific option may have more prevalence in the mind of the person who makes the investment than the option that initially could be more suitable in purely economic-financial terms.
