The study is based on empirical syntheses in understanding the sagacity of investors, stock returns, and stock market efficiency behavior in the theoretical frame of behavioral finance patterns. The analyses employed a long extent of Pakistan stock market Returns data from June 1994 to November...

We theoretically show that there is a fundamental disconnect be- tween the disposition effect, i.e., investors’ tendency to sell winning assets too early and losing assets too late, and its common empirical measure, namely a positive difference between the proportion of gains and losses re-...