Assets are economically liquid when they can be sold quickly with no loss relative to their fair market value. Assets are quot;mentally liquidquot; when they offer investors options to obscure losses relative to reference prices and options to avoid their realization. Purchase prices are common...

We find that the mean returns and standard deviations of global portfolios with hedged currencies during the 15-year period 1988-2002 were approximately equal to those of portfolios with unhedged currencies. Mean-variance investors who believe that the expected returns and standard deviations of...

Financial advisors who worked to restrain exuberant investors in the late 1990s, worked equally hard to lift desperate investors in the early 2000s. Will lower stock prices sap the confidence of consumers? Will lower consumer confidence extinguish all hope for investors?We study the consumer...

Stocks, like houses, cars, watches and most other products exude affect, good or bad, beautiful or ugly, admired or despised. Affect plays a role in pricing models of houses, cars and watches but, according to standard financial theory, affect plays no role in pricing of financial assets. We...

Do stocks of admired companies yield admirable returns? We study Fortune magazine's annual list of quot;America's Most Admired Companiesquot; and find that stocks of admired companies had lower returns, on average, than stocks of despised companies during the 23 years from April 1983 through...