An Analytical Study: Investor Behaviour and the Role of Fundamental Analysis

Abstract

The study explains how different types of analysis have developed over time and how they are used today, especially in financial decision-making. It discusses how the personal behaviour and biases of financial experts can influence their decisions. The study also describes the use of fundamental analysis and technical analysis in managing corporate finances.It outlines the basic concepts of accounting and financial analysis and explains two main methods of analysis: bottom-up and top-down approaches. Technical analysis is presented as a way to study price movements in financial markets by using past price charts and market data. In contrast, fundamental analysis focuses on finding the true value of securities by carefully examining economic conditions and financial information. Overall, the study gives a clear introduction to the different methods of financial analysis and their importance in understanding and managing investments.