We analyze the impact of individuals' degree of extraversion and neuroticism on their decision making in an experimental asset market. To establish this link between research on experimental asset markets and social psychology we use a unique approach that combines a questionnaire designed to...

We perform an event study analysis to determine short-term abnormal stock returns following the Brexit referendum. Moreover, we examine whether firm-level internationalization helps explaining abnormal returns. We find that stocks of firms with higher proportions of domestic sales realized more...

Investors who only invest in their domestic market are typically referred to as being home-biased. We refer to firm-level internationalization and call into question whether investing in domestic stock indices actually leads to home bias. We use three measures of firm-level internationalization...

We examine the relation between households' wealth and relative risk aversion (RRA) in two different frameworks: the Behavioral Portfolio Theory (BPT) and Merton's (1969) consumption and portfolio choice model (CPCM). We apply the BPT to field data for the first time and show that the BPT...

Purpose: Retail investors use information provided by mutual fund rating agencies to make investment decisions. This paper examines whether the ratings provide useful information to retail investors by analyzing the rating migration and closure risk of mutual funds that received Morningstar's...

Ecologically and socially responsible financial products and services are receiving considerable attention in the context of investment management and also in the public debate. While many financial service providers claim to offer ecologically and/or socially responsible financial products...

Purpose – The purpose of this paper is to derive the determinants of young adults' subjective and objective risk attitude in theoretical and real-world financial decisions. Furthermore, a comparison of the factors that influence young adults' and older adults' risk attitude is...

The authors analyze the impact of individuals' degree of extraversion and neuroticism on their decision making in an experimental asset market. To establish this link between research on experimental asset markets and social psychology the authors use a unique approach that combines a...

We analyze whether the efficiency of households' asset mixes is driven by households' wealth as suggested by previous studies. This question is of particular importance when assessing if employing a buy-and-hold strategy with their current asset mix is an appropriate advice for all households...