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Definition of Herding instinct, herding behavior - Finance dictionary
        

Herding instinct, herding behavior (See Chapter 15 of the Vernimmen)

The herding instinct is the desire to follow the crowd, i.e. the tendency of individuals to mould their thinking to the prevailing opinion. Similarly, economists call this decision-making process an information cascade and believe that it happens in financial markets.

Herding instinct, herding behavior (See Chapter 15 of the Vernimmen)

The herding instinct is the desire to follow the crowd, i.e. the tendency of individuals to mould their thinking to the prevailing opinion. Similarly, economists call this decision-making process an information cascade and believe that it happens in financial markets.

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Definitions of terms begining with the same letter as "Herding instinct, herding behavior" :

Hard capital rationing
Hard currency
Hedge fund
Hedging
Hedging principle
Herding instinct, herding behavior
Hidden assets
Hidden option
High-yield bonds
Historical equity risk premium
Historical value
Holdback
Holding company
Holding company discount
Holding-period return
Hostile offer
Hurdle rate
Hybrid securities
Hyperinflationary country

Herding instinct, herding behavior (See Chapter 15 of the Vernimmen)

The herding instinct is the desire to follow the crowd, i.e. the tendency of individuals to mould their thinking to the prevailing opinion. Similarly, economists call this decision-making process an information cascade and believe that it happens in financial markets.