Posts tagged with: Risk taking
Bias, blindness and how we truly think, parts 1-4. (2011)
“More often than not, risk-takers underestimate the odds they face and … believe they are prudent, even when they are not.” Daniel Kahneman, professor emeritus of psychology and public affairs...
The introduction of a non-traditional and aggressive approach to banking: the risks of hubris. (2011)
"The study highlights the risks of hubris, in that media praise and early successes can increase the pace of adoption of innovations which offer short-term gains but are detrimental in...
Research Café 1 (2011) – Dr John Coates: hormonal influences on risk taking
"These people were not like this before the bubble, and they were not like it afterwards. Something was happening to them when they were making above-average profits that was changing...
Share traders more reckless than psychopaths, study shows. (2011)
"What makes individual stockbrokers blow billions in financial markets with criminal trading schemes? It may be because share traders behave more recklessly and are more manipulative than psychopaths. Spiegel...
Are overconfident CEOs better innovators? (2010)
"Firms with overconfident CEOs have greater return volatility, invest more in innovation, obtain more patents and patent citations, and achieve greater innovative success for given research and development expenditures. ...
CEO overconfidence and dividend policy. (2010)
"The level of dividend payout is lower in firms managed by overconfident CEOs. This reduction in dividends associated with CEO overconfidence is greater in firms with lower growth opportunities and...
The neuroscience of money: finding how traders tick. (2010)
"A fascinating overview of some of the most interesting research of the last few years into the neuroscience of money and the impact genetics, neurology, physics and biology might have on financial...
CEO hubris and firm risk taking in China: the moderating role of managerial discretion. (2010)
The positive relationship between CEO hubris and firm risk taking was stronger when CEO managerial discretion was stronger: when a firm faced munificent but complex markets; had less inertia and...
From molecule to market: steroid hormones and financial risk-taking. (2010)
"We survey research on steroid hormones and their cognitive effects, and examine potential links to trader performance in financial markets. Preliminary findings suggest that cortisol codes for risk and testosterone...
Second-to-fourth digit ratio predicts success among high-frequency financial traders. (Jan 2009)
"The second-to-fourth digit length ratio ... predicted the traders’ long-term profitability as well as the number of years they remained in the business. 2D:4D also predicted the sensitivity of their profitability...