This paper proposes a theoretical model of forecasts formation which implies that in presence of information …, as well as their threshold-type shape. They also imply an upper bound of the optimal time between two information …

's information set for the myopic stock-bond portfolio. In-sample I find that the best forecast of the volatility and correlation is … simply the previous realised estimate. However, out-of-sample, analyst forecasts provide information not contained in …

The purpose of this study is to explore a model in which asset prices are endogenously determined by information … for information are affected by investors' risk attitudes and prediction abilities. The results demonstrate the influence … of information cost, the volatility of risky asset value, investors' risk aversion, and prediction abilities on the Nash …

Documented results indicate prediction markets effectively aggregate information and form accurate predictions. This …