Agent-based modeling in financial markets

After stabilization the two main paradigms of classical and behavioral finance in the second half of the twentieth century some problems s arose about the validity of researches such as Complexity of the behavior of investors, Retrospective data and limiting rules on the confidentiality of personal accounts and financial information to investors. This problem creates a new approach in the field of Financial Studies that is Agent – based modeling approach which is based on the concepts of artificial intelligence, simulation, and creating artificial financial market. In This paper will discuss the agent-based approach and its application in financial markets, most software for the creation of artificial financial markets and the use of agent-based models in the classical and behavioral finance. Based on the results of this research agent-based modeling approach beside of classical andbehavioral finance paradigm can increase the accuracy and efficiency of the financial markets researches.