Management Experiment of Securities Regulation Based on Behavioral Finance

Based on the theory of behavioral finance, this paper studies the securities regulation by using the research method of management experiment. It studies the validity of the securities regulation measures, the influence of securities regulation factors and management psychology factors on the investment behavior of investors. It aims at guiding the investors to make rational investment. The paper analyses the experimental results of securities regulation by statistical analysis methods of line graph, bar graph, significant paired t-test and linear regression analysis. The results of the experiment prove that some investors are irrational and verify that there exist some psychological effects phenomena in the investment of the investors in the experiment, such as the phenomenon of self-confidence, self-attribution bias and herding effect. It gets a certain correlativity between the management psychology factors and the securities prices. The paper draws the conclusion that some investors are irrational in the investment and the appropriate measures of securities regulation are effective in the experiment. Finally, several suggestions of securities regulation are put forward.