-by-minute trading observations from over 864,000 price realizations in a natural field experiment, we find data patterns consonant with …

magnitude of the equity premium within the usual economics paradigm because the level of risk aversion necessary to justify such …-term investment goals such as saving for retirement or managing a pension plan. We dub this combination 'myopic loss aversion'. Using …

The theory of expected utility maximization (EUM) explains risk aversion as due to diminishing marginal utility of … subjects often appear to be too risk averse with regard to small gambles (while still accepting sufficiently favorable large … imprecise (and noisy) mental representation of the decision situation. In this model, risk aversion is predicted without any …

investment decisions in constructed laboratory markets. Our results show that the behaviors of the traders are consistent with …

traditional risk statistics. Aggregate research interest is highly correlated with stock size, and salient news and earnings …

This paper defines risk-on risk-off (RORO), an elusive terminology in pervasive use, as the variation in global … investor risk aversion. Our high-frequency RORO index captures time-varying investor risk appetite across multiple dimensions …: advanced economy credit risk, equity market volatility, funding conditions, and currency dynamics. The index exhibits risk …

observed allocations. We use this quasi-experiment to estimate a life cycle model and find a relative risk aversion of 2, EIS …We study the role of risk preferences and frictions in portfolio choice using variation in 401(k) default options …

This essay reviews the family of models that seek to provide aggregate risk based explanations for the empirically …