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a nudge promoting a social norm of exerting one’s best forecast effort and document its impact on the forecasting … behavior of professional and amateur forecasters of earnings. Contrary to conventional economic theory’s predictions, we find … that nudging reduces forecast herding, and leads to a less biased, more accurate, and more representative consensus …
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We examine how the return predictability of deep learning models varies with stocks’ vulnerability to investors’ behavioral biases. Using an extensive list of anomaly variables, we find that the long-short strategy based on deep learning signals generates greater returns for stocks that are...
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We examine how the return predictability of deep learning models varies with stocks’ vulnerability to investors’ behavioral biases. Using an extensive list of anomaly variables, we find that the long-short strategy based on deep learning signals generates greater returns for stocks more...
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