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Crises in financial markets affect humans worldwide. Detailed market data on trading decisions reflect some of the complex human behavior that has led to these crises. We suggest that massive new data sources resulting from human interaction with the Internet may offer a new perspective on the...
Persistent link: https://www.econbiz.de/10013064020
degree of bias due to selection neglect increases when other decision makers become more informed, or become more rational …
Persistent link: https://www.econbiz.de/10011982107
This research verifies the existence of the aversion to uncertainty bias in individual financial decisions. It also … evaluates the effects of gender and knowledge in this bias. We considered a sample of 80 undergraduate management students from … Universidade Católica de Brasília. The results supported the existence of the uncertainty bias amongst individuals facing financial …
Persistent link: https://www.econbiz.de/10014138921
Persistent link: https://www.econbiz.de/10014513606
India has one of the biggest capital markets in Emerging Countries. It has a large number of listed companies, brokers, financial institutions. There is also increasing stock trading community. Most of the retail players now follow Fundamental and Technical Analysis for their stock selection and...
Persistent link: https://www.econbiz.de/10013078015
We investigate the relationship between anchoring and the emergence of bubbles in experimental asset markets. We show that setting a visual anchor at the fundamental value (FV) in the first period only is sufficient to eliminate or to significantly reduce bubbles in laboratory asset markets. If...
Persistent link: https://www.econbiz.de/10012061107
In an experimental setting in which investors can entrust their money to traders, we investigate how compensation schemes affect liquidity provision and asset prices. Investors face a trade-off between risk and return. At the benefit of a potentially higher return, they can entrust their money...
Persistent link: https://www.econbiz.de/10010530580
In this paper individual overconfidence within the context of an experimental asset market is investigated. Overall, 72 participants traded one risky asset on six markets of 12 participants each. The results indicate that individuals were not generally overconfident. Moreover, overconfidence was...
Persistent link: https://www.econbiz.de/10009614297
We investigate the relationship between anchoring and the emergence of bubbles in experimental asset markets. We show that setting a visual anchor at the fundamental value (FV) in the first period only is sufficient to eliminate or to significantly reduce bubbles in laboratory asset markets. If...
Persistent link: https://www.econbiz.de/10010365125
To understand why investors hold socially responsible mutual funds, we link administrative data to survey responses and behavior in incentivized experiments. We find that both social preferences and social signaling explain socially responsible investment (SRI) decisions. Financial motives play...
Persistent link: https://www.econbiz.de/10012973779