Lo argues that much of what behaviorists cite as counterexamples to economic rationality—loss aversion, overconfidence, overreaction, and other behavioral biases—are consistent with an evolutionary model of individuals adapting to a changing environment using simple heuristics.
Even fear and greed, which are viewed as the usual culprits in the failure of rational thinking by the behaviorists, are driven by evolutionary forces.
In 2017, researchers from Bahria University first time related the Adaptive Market Hypothesis (AMH) to Islamic holidays and political regimes.
[5] Similarly, during his Ph.D., Shahid (2019) first time linked the Islamic financial Anomalies (month of Ramadan Effect) with the Adaptive Market Hypothesis.
[6] Moreover, he first time investigated the behavior of returns from commodities, precious metals, and energy under the umbrella of AMH and different prevailing COVID-19 conditions, and elucidated certain COVID-19 conditions proved more conducive to the performance of returns from commodities (Agriculture), precious metals, and energy.