Investment in emerging technologies is particularly challenging, since, apart from uncertainty in revenue streams … of the output price. Thus, we develop an analytical framework for sequential investment in order to determine how price … likelihood of subsidy provision facilitates investment. However, embedded options to invest in improved technology versions raise …

We combine forward investment performance processes and ambiguity averse portfolio selection. We introduce the notion … investment horizon specification. It describes the evolution of time-consistent ambiguity averse preferences. We first focus on … dynamical estimate of the market price of risk and updates her stochastic utility in accordance with the so-perceived elapsed …

for further research, especially on the motivations behind investment decisions. Investments in market economies are … society. By shaping business concerns and strategies, social institutions have a major impact on investment decisions in a … capitalist system. The role of such institutions in investment decisions via policy making is generally neglected in strategies …

Pension funds investment behavior have found to be persistent over time. Empirical findings of such persistence support … conjectures that belief biases such as overoptimism and reputational concerns affect fiduciary investment behavior. Standard mean …-variance analyses do not consider the implications of prudent-man laws on pension fund investment. We suggest an alternative way to …

This paper extends the work of Chen and Chang (2010) and attempts to present a model for the optimal investment … exogenously embedded in the stochastic optimization of an investment opportunity under price uncertainty. An entry probability …, indicating the likelihood of an investment action optimally taken at a future time instant, is derived. Sensitivity analyses are …

for further research, especially on the motivations behind investment decisions. Investments in market economies are … society. By shaping business concerns and strategies, social institutions have a major impact on investment decisions in a … capitalist system. The role of such institutions in investment decisions via policy making is generally neglected in strategies …

This paper deals with capital budgeting decisions under uncertainty. We present an Aggregate Return On Investment (AROI … which, compared with the risk-adjusted cost of capital, correctly signals wealth creation. For choosing between two mutually … exclusive projects, we derive an incremental AROI and an incremental risk-adjusted cost of capital, by means of which two …

In a model of mutual fund investor learning about managerial ability, we investigate how investment decisions depend on …

risk aversion. Our findings suggest that ATRs can effectively fight tax uncertainty and stimulate investment. However … investment decisions of a firm under both cash flow and tax uncertainty. We model and analyze the multidimensional nature of tax …

opposite of what is appropriate for the decision. We illustrate the conflict by studying multi-period investment problems. The …-period investments with negative risk premia can be profitable, there can be infinite demand for risky securities by risk averse … investors, settings exist where risk averse investors should not diversify, and demand for mutual funds with negative alphas may …