A new measurement method of investor overconfidence

We present an alternative measurement method of investor overconfidence, using unique survey data on stock market predictions of investors. We apply the Parkinson estimate based on extreme bounds around the stock forecast to deduce investor confidence. The results support overconfidence.

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Year of publication:	2012
Authors:	Huisman, Ronald ; Sar, Nico L. van der ; Zwinkels, Remco C.J.
Published in:	Economics Letters. - Elsevier, ISSN 0165-1765. - Vol. 114.2012, 1, p. 69-71
Publisher:	Elsevier
Subject:	Investor overconfidence \| Survey data \| Parkinson volatility

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Type of publication:	Article
Classification:	D1 - Household Behavior and Family Economics ; G1 - General Financial Markets ; G2 - Financial Institutions and Services
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10010597175