Investor Behavior and Market Efficiency: Difference between revisions
From Santa Fe Institute Events Wiki
No edit summary |
No edit summary |
||
| (One intermediate revision by the same user not shown) | |||
| Line 1: | Line 1: | ||
{{2007 Public Lectures}} | {{2007 Public Lectures}} | ||
'''Terrance Odean''', Willis H. Booth Professor of Banking and Finance at the Haas School of Business, University of California at Berkeley | |||
Discussant: '''J. Doyne Farmer''', Professor, Santa Fe Institute | |||
The trading records of hundreds of thousands of individual and institutional investors show that individual investors tend to trade too frequently, hold on to their losing investments, and buy stocks that are in the news. Psychological motivations for these behaviors are overconfidence, a desire to avoid feeling regret, and the limits of human attention. These trading behaviors lead to substantial reductions in portfolio returns for individual investors. Furthermore, the trading of individual investors forecasts future asset returns. | |||
Latest revision as of 21:18, 9 January 2007
| 2007 Public Lectures |
Terrance Odean, Willis H. Booth Professor of Banking and Finance at the Haas School of Business, University of California at Berkeley
Discussant: J. Doyne Farmer, Professor, Santa Fe Institute
The trading records of hundreds of thousands of individual and institutional investors show that individual investors tend to trade too frequently, hold on to their losing investments, and buy stocks that are in the news. Psychological motivations for these behaviors are overconfidence, a desire to avoid feeling regret, and the limits of human attention. These trading behaviors lead to substantial reductions in portfolio returns for individual investors. Furthermore, the trading of individual investors forecasts future asset returns.
Wednesday, August 15 at 7:30 pm
James A. Little Theater
New Mexico School for the Deaf
1060 Cerrillos Road, Santa Fe