We investigate how risk aversion (RA) shapes the informative content of prices in an experimental asset market, where traders are sorted according to their RA. RA should induce steeper individual demands and, under its most common parametrizations, drive equilibrium prices closer to revealing...

Changes in average FinaMetrica monthly risk tolerance scores were evaluated during the January 2007 to May 2012 time period that spanned the global financial crisis. The research objective was to test whether fluctuations in equity returns influence average risk tolerance scores over time. A...

Using a simple dynamic consumption-based asset pricing model, this paper explores the implications of a representative investor with smooth ambiguity averse preferences [Klibanoff, Marinacci and Mukerji, Econometrica (2005)] and provides a comparative analysis of risk aversion and ambiguity...

An zahlreichen Wertpapiermärkten, an denen Aktien und Optionen gehandelt wer-den, sind professionelle Händler beauftragt, kontinuierlich verbindliche Kauf- und Verkaufsangebote an potentielle Nachfrager zu geben, um für alle interessierten Marktteilnehmer jederzeit einen sofortigen...