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Persistent link: https://www.econbiz.de/10003675466
increases investment levels. -- myopic loss aversion ; risk ; investment ; experiment …We examine in an experiment the causes, consequences and possible cures of myopic loss aversion (MLA) for investment … behaviour under risk. We find that both, investment horizons and feedback frequency contribute almost equally to the effects of …
Persistent link: https://www.econbiz.de/10009731795
paper we address two issues related to the effects of MLA on risky investment decisions. First, we assess the relative … impact of feedback frequency and investment flexibility (via the investment horizon) on risky investments. Second, given that … we observe higher investments with a longer investment horizon, we examine conditions under which investors might …
Persistent link: https://www.econbiz.de/10010263139
during investment processes. This paper presents an alternate view on the drivers behind entrepreneurs’ risk-taking behavior …This paper presents evidence on the role of the endowment effect in shaping the risk-taking behavior of entrepreneurs …
Persistent link: https://www.econbiz.de/10011982570
between financial wealth and participation as well as conditional stock share. With respect to these investment behaviors and … to consumption pattern, assuming common preference parameters and the high historical equity risk premium, the results …
Persistent link: https://www.econbiz.de/10013110076
We examine in an experiment the causes, consequences and possible cures of myopic loss aversion (MLA) for investment … behaviour under risk. We find that both, investment horizons and feedback frequency contribute almost equally to the effects of … MLA. Longer investment horizons and less frequent feedback lead to higher investments. However, when given the choice …
Persistent link: https://www.econbiz.de/10010263857
We examine in an experiment the causes, consequences and possible cures of myopic loss aversion (MLA) for investment … behaviour under risk. We find that both, investment horizons and feedback frequency contribute almost equally to the effects of … MLA. Longer investment horizons and less frequent feedback lead to higher investments. However, when given the choice …
Persistent link: https://www.econbiz.de/10010293429
The disposition effect is a well-established phenomenon which describes the behavior of investors that are more willing to sell capital gains than capital losses. In this article we present experimental evidence on a situation where an investor decides on behalf of another person. In our...
Persistent link: https://www.econbiz.de/10011770595
Loss aversion has been shown to be an important driver of people’s investment decisions. Encouraged by regulators …, financial institutions are in search of ways to incorporate clients’ loss aversion in their risk classifications. The most … risk-profiling application of an established financial institution. In total, we elicit loss aversion for 1,040 employees …
Persistent link: https://www.econbiz.de/10013492094
attractive attracted under risk conditions. …
Persistent link: https://www.econbiz.de/10014246136