scispace - formally typeset
Journal ArticleDOI

Are Investors Reluctant to Realize Their Losses

Roger Ignatius
- 01 May 1999 - 
- Vol. 29, Iss: 2, pp 44-45
Reads0
Chats0
About
This article is published in Cfa Digest.The article was published on 1999-05-01. It has received 506 citations till now.

read more

Citations
More filters
Posted Content

Loss Aversion and Seller Behavior: Evidence from the Housing Market

TL;DR: In this paper, the authors show that loss aversion determines seller behavior in the housing market, and that owners subject to nominal losses set higher asking prices of 25-35 percent of the difference between the property's expected selling price and their original purchase price, and exhibit a much lower sale hazard than other sellers.
Journal ArticleDOI

Disagreement and the Stock Market

TL;DR: In a striking rejection of this null, a large catalog of variables with no apparent connection to risk has been shown to forecast stock returns, both in the time series and the cross-section as discussed by the authors.
Journal ArticleDOI

Prospect Theory, Mental Accounting, and Momentum

TL;DR: In this paper, the tendency of some investors to hold on to their losing stocks, driven by prospect theory and mental accounting, creates a spread between a stock's fundamental value and its equilibrium price, as well as price underreaction to information.
Journal ArticleDOI

Up Close and Personal: Investor Sophistication and the Disposition Effect

TL;DR: Empirical evidence is found that wealthier individuals and individuals employed in professional occupations exhibit a lower disposition effect, and trading frequency also tends to reduce the disposition effect.
Posted Content

Overconfidence and trading volume

TL;DR: The authors found that investors who think that they are above average in terms of investment skills or past performance trade more than rational investors, contrary to theory, unrelated to measures of trading volume.
References
More filters
Journal ArticleDOI

Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors

TL;DR: In this paper, the authors argue that overconfidence can explain high trading levels and the resulting poor performance of individual investors, and that trading is hazardous to the wealth of individuals who hold common stocks directly.
Posted Content

Loss Aversion and Seller Behavior: Evidence from the Housing Market

TL;DR: In this paper, the authors show that loss aversion determines seller behavior in the housing market, and that owners subject to nominal losses set higher asking prices of 25-35 percent of the difference between the property's expected selling price and their original purchase price, and exhibit a much lower sale hazard than other sellers.
Journal ArticleDOI

Disagreement and the Stock Market

TL;DR: In a striking rejection of this null, a large catalog of variables with no apparent connection to risk has been shown to forecast stock returns, both in the time series and the cross-section as discussed by the authors.
Journal ArticleDOI

Up Close and Personal: Investor Sophistication and the Disposition Effect

TL;DR: Empirical evidence is found that wealthier individuals and individuals employed in professional occupations exhibit a lower disposition effect, and trading frequency also tends to reduce the disposition effect.
Posted Content

Overconfidence and trading volume

TL;DR: The authors found that investors who think that they are above average in terms of investment skills or past performance trade more than rational investors, contrary to theory, unrelated to measures of trading volume.