INSTRUCTIONS:
This INDIVIDUAL coursework accounts for 50% of your final grade. You should prepare up to 2500 words case study with appropriate annexes, if necessary. The main report must be word-processed and presented in a suitable way using tables, charts/diagrams, if considered necessary to support your explanations. (There is no limit on what can be put into the appendices to the main report). PART 1: Financial markets anomalies and financial bubbles Required: - Find 3 examples of ANY market anomalies or market bubbles from ANY real financial market; - Explain why you consider each example as market anomaly/market bubble; - Provide your understanding of the situation, highlighting the possibilities that could help to avoid the consequences (should we avoid the positive consequences?) of a market anomaly/market bubble. - Compare the analysed examples, explaining opportunities to identify the formation of market anomalies/market bubbles in advance and not allowing them to happen (if possible). PART 2: Fake news and information manipulation in financial environment Required: - Make a selection of fake news (3 or more) in ANY financial market. - Analyse the common features of your selected examples. - Suggest how to identify fake news „up on their arrival“ to the public and prevent their negative (or positive?) influence. - Discuss 6 examples of information manipulation you have ever experienced and explain your behaviour in each situation. PART 3: Cognitive and emotional biases and their influence on decision making Required: - Choose 3 cognitive and emotional biases that influences your behaviour most of all. - Discuss your decisions under the influence of your selected biases. Are they all the time rational? How could you change your behaviour, applying all knowledge gained during this module?