This paper reports the results of 16 experimental asset markets that explore the effects of trade transparency on the price formation process and its results using a more realistic design than related studies. The open orderbook does not improve informational efficiency and does not result in...

Social trading—also referred to as copy trading—is an interactive platform-based innovation facilitating visibility and traceability of signal provider trading activities. Based on published portfolio transaction and return track records, platform users can copy one or several signal...

In this article, we assess whether German private investors gamble in the stock market. Other studies that have analyzed private investors' preferences with regard to lottery-like characteristics have used retail or discount brokerage data. They have shown that stock trading has common...

Our study contributes to a better understanding of the relationship between financial literacy and households' investments in risky assets. We estimate a structural equation model with data from the Panel on Household Finances of the German central bank. Our results show that although...

We survey 231 undergraduate students to analyze how retail investors' characteristics influence their decision to use a robo-advisor. Characteristics such as the willingness to take risk, extraversion, and optimism are significant in univariate tests but the willingness to take risk and the...

Robo-advisers enable investors to establish an automated rebalancing strategy for a portfolio usually consisting of stocks and bonds. Since households’ portfolios additionally include further frequently tradable assets like real estate funds, articles of great value and cash(-equivalents), we...