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Branch of economics focused on the elements of time, risk, opportunity cost and other variables related to financial decisions. This field of study concentrates on how financial moves are made under uncertain conditions.
Financial Economics is a future plan economics that is related analyze of Saving, Investment, and risk of the financial market and financial institution. The financial decision of individual stock, portfolio, and the market as a whole It should be doing for the global financial market as a risk.
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As a matter of fact and as most of textbooks are defining the Financial Economics as:
"Financial economics is a branch of economics that analyzes the use and the distribution of financial resources in the markets, in which decisions are made under uncertainty by often take into consideration the future events and probabilities , even those are related to individuals, stocks markets, portfolios or the market as a whole".