Current clinical parameters used for diagnosis and phenotypic definitions of psychopathology are both highly variable and subjective. Intensive research efforts for specific and sensitive biological markers, or biomarkers, for psychopathology as objective alternatives to the current paradigm are ongoing. While biomarker research in psychiatry has focused largely on functional neuroimaging methods for identifying the neural functions that associate with psychopathology, scalp electroencephalography (EEG) has been viewed, historically, as offering little specific brain source information, as scalp appearance is only loosely correlated to its brain source dynamics. However, ongoing advances in signal processing of EEG data can now deliver functional EEG brain-imaging with distinctly improved spatial, as well as fine temporal, resolution. One computational approach proving particularly useful for EEG cortical brain imaging is independent component analysis (ICA). ICA decomposition can be used to identify distinct cortical source activities that are sensitive and specific to the pathophysiology of psychiatric disorders. Given its practical research advantages, relatively low cost, and ease of use, EEG-imaging is now both feasible and attractive, in particular for studies involving the large samples required by genetically informative designs to characterize causal pathways to psychopathology. The completely non-invasive nature of EEG data acquisition, coupled with ongoing advances in dry, wireless, and wearable EEG technology, makes EEG-imaging increasingly attractive and appropriate for psychiatric research, including the study of developmentally young samples. Applied to large genetically and developmentally informative samples, EEG imaging can advance the search for robust diagnostic biomarkers and phenotypes in psychiatry. © 2013 Wiley Periodicals, Inc.