We study the relationship between risk managers’ dark triad personality traits (Machiavellianism, narcissism, and psychopathy) and their selective hedging activities. Using a primary survey of 412 professional risk managers, we find that managers with dark personality traits are more likely to...

This paper investigates the impact of a 2018 intervention by the European Securities and Markets Authority (ESMA) limiting the amount of leverage that investors can take on their trading activities. While it successfully reduced the leverage-usage, investors shifted their trading activities to...

Social comparisons and ranking in the wealth distribution impact risk-taking decisions. We provide experimental evidence that rankings have a differential impact on risk-taking decisions based on what individuals are ranked on. We observe the largest rank-based differences when individuals are...