We examine underlying factors that explain an exceptionally low stock market participation rate among Lithuanian households by carrying out a comprehensive survey of mass affluent individuals. The probit regression analysis of the survey results indicates that lack of financial literacy, low...

We study the asset allocation of an investor with prospect theory (PT) preferences. First, we solve analytically the two-asset problem of the PT investor for one risk-free and one risky asset and find that loss aversion and the reference return affect differently less ambitious investors and...

The paper presents a systematic review of the research work, published on the topic of weather effects and stock market behavior. The objectives of the study were to examine the current status of research, by collecting the literature, in the area of weather effects and stock market behavior. In...

Financial literacy is gaining increasing importance as a policy objective in many countries. A growing literature has examined the role of financial literacy in an individual's income, saving behavior, and the use of various financial products. However, so far, we are not aware of any studies of...

Using the 2015 and 2017 waves of the China Household Finance Survey (CHFS), we measured financial literacy and study its relationship to households' demand for digital finance. We found that a majority of households in the People's Republic of China possess limited financial literacy. The low...

The central issue of this paper is analysis and resulting proposals to help unsophisticated pension participants achieve pension portfolios that match their level of risk aversion when there is a large amount of unexplained heterogeneity in risk aversion. Target date funds are commonly used as...

Rapid developments in financial technology (fintech) are expected to contribute to improvements in financial inclusion and well-being. This paper investigates how financial literacy and other factors contributed to the adoption of fintech services in Japan, using data from a survey conducted by...

The "Fear of Missing Out" or FoMO has become an accepted motivator of behaviours extending from the purchase of limited-edition sneaker brands to social media use and cryptocurrency investment. As a motivator of individual financial behaviours, such as cryptocurrency and stock investment, it is...

The paper investigates the factors that affect the risk tolerance of the general investors in Nepalese stock market. Using data of 99 investors, study applies ordinal logistic regression to evaluate the impact of investor's education level, gender, financial literacy, years in trading, prior...

We use the 529 college savings plan setting to investigate whether and why households make suboptimal choices to invest in local assets. We estimate that 67% of open accounts between 2010 and 2020 were located suboptimally due to the plans' tax inefficiencies and high expenses. Over the...