Showing 1 - 10 of 25
Investor sophistication has lagged behind the growing complexity of retail financial markets. To explore this, we develop a dynamic model to study the interaction between obfuscation and investor sophistication. Taking into account different learning mechanisms within the investor population, we...
Persistent link: https://www.econbiz.de/10013228646
We develop a dynamic model to study the interaction between obfuscation and investor sophistication in retail financial markets. Taking into account different learning mechanisms within the investor population, we characterize the optimal timing of obfuscation for a profit-maximizing monopolist....
Persistent link: https://www.econbiz.de/10003971343
Persistent link: https://www.econbiz.de/10010207277
Persistent link: https://www.econbiz.de/10010372567
Persistent link: https://www.econbiz.de/10008934103
Persistent link: https://www.econbiz.de/10003843620
Persistent link: https://www.econbiz.de/10010532262
How do differences of opinion affect asset prices? Do investors earn a risk premium when disagreement arises in the market? Despite their fundamental importance, these questions are among the most controversial issues in finance. In this paper, we use a novel data set that allows us to directly...
Persistent link: https://www.econbiz.de/10013096485
We study strategic disclosure timing by correlated firms in the presence of risk-averse investors. Firms delay disclosures in the hope that positively correlated firms will announce especially good news and lift their own price. Risk premia rise before disclosures, drop when disclosures occur,...
Persistent link: https://www.econbiz.de/10014447256
Persistent link: https://www.econbiz.de/10014318016