Title: Risk investment heuristics: applied systemic review

Authors: Diego de Magalhães Ozorio; Leandro Pereira; Rui Gonçalves; Álvaro Dias; Renato Lopes da Costa

Addresses: Business Research Unit – BRU-IUL, ISCTE – Instituto Universitário de Lisboa, Lisbon, Portugal ' BRU-Business Research Unit, ISCTE – Instituto Universitário de Lisboa, WINNING LAB, Lisbon, Portugal ' PIAGET Almada, Almada, Portugal ' Universidade Lusófona de Humanidades e Tecnologias, ISCTE – Instituto Universitário de Lisboa, Lisbon, Portugal ' Business Research Unit – BRU-IUL, ISCTE – Instituto Universitário de Lisboa, Lisbon, Portugal

Abstract: Investments in projects are judged with rational mathematical parameters. Risky projects can build or destroy companies, careers and fortunes. Being able to fully rationalise the intelligence of the investment judgement seems unlikely. To a greater or lesser extent, cognition interferes with the judges' preference. But would it be possible to identify cognitive traits of the judges' intelligence when deciding on corporate investments? The article makes a systemic literature review of the field on the judgement of corporate investments. The revision suggests that there are gaps in theories about the judgement of corporate investments, which should be solved.

Keywords: heuristics; bias; judgement; risk; investments.

DOI: 10.1504/IJASS.2023.133911

International Journal of Applied Systemic Studies, 2023 Vol.10 No.2, pp.111 - 135

Received: 11 Jul 2021
Accepted: 08 Dec 2021
Published online: 05 Oct 2023 *

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