profit from these effects earn average returns similar to those of the factors, with substantially reduced risk. Betas are …

relevant than other characteristics that predict investing in high-risk and high-skew securities, and gambling on and off the …

investing in high-risk and high-skew securities, and that gambling on and off the stock market act as substitutes to satisfy the …

Contrary to the theoretical principle that higher risk is compensated with higher expected return, the literature shows … that low-risk stocks outperform high-risk stocks. Using a large-scale household dataset, we provide an explanation for this … puzzling result that the anomalous negative risk-return relation is only confined to those stocks held by rich households …