An Equity Analyst Working for a Growth Oriented Mutual Fund

question 347

Multiple Choice

An equity analyst working for a growth oriented mutual fund has a tendency to misvalue the stocks of popular companies that she has previously recommended and the fund already owns. Her behavior is most likely consistent with which of the following biases?

• A) Escalation bias
• B) Prospect theory
• C) Confirmation bias
• D) Probability bias

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International Sales

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