This book is aimed at an emerging segment of investors who either have or will spent considerable time in choosing and selecting stocks for investment. It is the new cult of investors who are well informed and are conscious about their investment decisions. It also tries to answer few questions about how and why a market would be behaving in a particular fashion. The central issue in behavioral finance is explaining why market participants make systematic errors. Such errors affect prices and returns, creating market inefficiencies. It also investigates how other participants arbitrage such market inefficiencies. Value investing has proven to be a successful investment strategy. In terms of picking stocks, value investing suggests defensive investment in stocks trading below their tangible book value as a safeguard to adverse future developments often encountered in the stock market. Behavioral Finance and Value Investing are two sides of same coin. Both these aspect including multiple example are explained by author in this book of Behavioral Finance and Value Investing.