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also find that long-short positions in equities play a dominant role in the effective hedging of inflation risk over …
Persistent link: https://www.econbiz.de/10013105462
If stocks go up, investors may want to rebalance their portfolios. But investors cannot all rebalance. Expected returns may need to change so that the average investor is still happy to hold the market portfolio despite its changed composition. In this way, simple market clearing can give rise...
Persistent link: https://www.econbiz.de/10012762707
How do differences of opinion affect asset prices? Do investors earn a risk premium when disagreement arises in the … positive risk premium for disagreement in asset prices. We also show that volatility in and of itself does not lead to higher … trading volume. Rather, it is only when disagreement arises in the market that higher uncertainty is associated with more …
Persistent link: https://www.econbiz.de/10013096485