Understanding Investors’ Decisions: from Neuroeconomics to the applications of Neuromarketing in financial services

Investment decisions are often analysed through economic models assuming rational and consistent behaviour over time. However, financial markets and recent developments in behavioural finance show how, in times of high uncertainty, investors’ choices are influenced by emotional and cognitive mechanisms that escape traditional tools of analysis. Starting from the contribution of neuroeconomics and neuroscience, this article shows the value of an integration between data behavioral, big data and neurophysiological measures for advisory, wealth management and risk management. The objective is to explore how a better understanding of decision-making processes can make risk profiling more effective, improving customer experience and the quality of financial decisions.