Purpose: Digital financial inclusion era has brought Indonesian people to gain interest in sector by accessing more resources literature. During Covid-19 Pandemic, there was a unique phenomenon occurred where the price going down but number of individual investors, dominated millennial, increasing. This paper aimed examine behavioral biases that may influence millennial investors during investm...

What happens when uninformed investors trade stocks via mobile phones? Do they react to social sentiment differently than more informed traders in traditional trading? Based on 16,817 data observations and econometric analysis for the trading of 251 equities in Korea over 39 days, we present evidence of herding behavior among uninformed traders in the mobile channel. The results indicate that m...

Abstract We analyze how individual investors respond to inflation. introduce a unique data set containing information on local inflation and security portfolios of more than 2,000 clients German bank between 1920 1924, covering the hyperinflation. find that buy fewer (sell more) stocks when facing higher This effect is pronounced for less sophisticated investors. Moreover, we document positive ...

This study investigates the disposition effect with regard to Brazilian investors, focus on year 2020. The database is composed by more than 12,000 trades 274 investors. We follow method of Odean (1998) estimate proportions gains and losses realized test null hypothesis equality these in each portfolio. results suggest that investors behave line effect. They sell winning stocks too early hold l...

Behavior is the psychological phenomenon/aspect of individuals, and investors’ behavior influences investment decisions. The research examined influence on equity decisions based quantitative philosophy utilized descriptive cum analytical design. sample was 400 individual investors from top ten brokerage firms, with 40 who made in Nepalese stock market using a first-come-first-basis readiness t...

Foreign investors generally underperform domestic investors in trading activities. This study shows that their inferior performance is attributable to non-initiated orders. Foreign investors actually perform better than domestic investors in initiated orders. In addition, their performance is also mixed when trades are classified depending on who the counterparties are. These mixed performances...

We analyze the impact of price trends on trading decisions of more than 40, 000 households with accounts at a major discount brokerage house. Buying and selling decisions of investors in our sample are influenced by short-term (less than 3 months) price trends. By comparing the observed distributions of average trend before buys and average trend before sells with the average trend distribution...

This paper analyzes the behavior of stock prices around ex-dividend days after the implementation of the 1986 Tax Reform Act that dramatically reduced the difference between the tax treatment of realized long-term capital gains and dividend income in 1987 and completely eliminated the differential in 1988. We show that this tax change had no effect on the ex-dividend stock price behavior, which...