The Influence of Investor Psychology on Regret Aversion
Keywords:
regret aversion, risk, investor psychology
Abstract
Financial Theories say that Investor should act rationally. Emotions do have a powerful impact on everyday decisions we make. They not only shape behavior but also affect every decision taken by an individual. Similarly regret is the most common phenomena observed in individuals especially when they take investing decisions. In the present study researchers have tried to find out influence of Investor Psychology on Regret Aversion by using General Linear Model. The results are useful in Indian context.
Downloads
- Article PDF
- TEI XML Kaleidoscope (download in zip)* (Beta by AI)
- Lens* NISO JATS XML (Beta by AI)
- HTML Kaleidoscope* (Beta by AI)
- DBK XML Kaleidoscope (download in zip)* (Beta by AI)
- LaTeX pdf Kaleidoscope* (Beta by AI)
- EPUB Kaleidoscope* (Beta by AI)
- MD Kaleidoscope* (Beta by AI)
- FO Kaleidoscope* (Beta by AI)
- BIB Kaleidoscope* (Beta by AI)
- LaTeX Kaleidoscope* (Beta by AI)
How to Cite
References
David Bell (1983) Risk Premiums for Decision Regret. 29(10), 1156-1166. https://doi.org/10.1287/mnsc.29.10.1156
David Bell (1982) Regret in Decision Making under Uncertainty. 30(5), 961-981. https://doi.org/10.1287/opre.30.5.961
Shlomo Benartzi, Richard Thaler (1995) Myopic Loss Aversion and the Equity Premium Puzzle. 110(1), 73-92. https://doi.org/10.2307/2118511
T. Connolly, J. Reb (2003) Omission bias in vaccination decisions: Where's the "omission"? Where's the "bias"?. 91, 186-202.
Francesco Marcatto, Donatella Ferrante (2008) The Regret and Disappointment Scale: An instrument for assessing regret and disappointment in decision making. 3(1), 87-99. https://doi.org/10.1017/s193029750000019x
L. Festinger (1957) A Theory of Cognitive Dissonance.
Gilovich Tom, Robert Vallone, Amos Tversky (1985) The Hot Hand in Basketball: On the Misperception of Random Sequences. 1985, 295-314.
I. Janis, L. Mann (1977) Decision making: A psychological analysis of conflict, choice, and commitment.
Daniel Kahneman, Amos Tversky (1979) Prospect Theory: An Analysis of Decision under Risk. 47(2), 263. https://doi.org/10.2307/1914185
Nai-Fong Kuo Min-Hua, Yao-Chu Chiu, Ping-Hang Fan (2005) Gender and Taiwanese Individual Stock Investros Behavioral. 2, 1-28.
J. Landman (1993) Regret: The persistence of the possible.
Richard Larrick, Terry Boles (1995) Avoiding Regret in Decisions with Feedback: A Negotiation Example. 63(1), 87-97. https://doi.org/10.1006/obhd.1995.1064
Graham Loomes, Robert Sugden (1982) Regret Theory: An Alternative Theory of Rational Choice Under Uncertainty. 92(368), 805. https://doi.org/10.2307/2232669
A. Muermann, O. Mitchell, J. Volkmann (2006) Regret, portfolio choice, and guarantees in defined contribution schemes. 39(2), 219-229.
John Nofsinger, Richard Sias (1999) Herding and Feedback Trading by Institutional and Individual Investors. 54(6), 2263-2295. https://doi.org/10.1111/0022-1082.00188
Terrance Odean (1998) Are Investors Reluctant to Realize Their Losses?. 53(5), 1775-1798. https://doi.org/10.1111/0022-1082.00072
Terrance Odean (1996) Are Investors Reluctant to Realize Their Losses?. 269. https://doi.org/10.2139/ssrn.94142
Proquest.com.
Robert Shiller (2000) Measuring Bubble Expectations and Investor Confidence. 1(1), 49-60. https://doi.org/10.1207/s15327760jpfm0101_05
J. Reb, T. Connolly (2005) Decision justifiability and anticipated regret.
René Richard, Joop van der Pligt, Nanne de Vries (1996) K (1 996) Anticipated regret and time perspective: Changing sexual risk -taking behavior. 9(3), 185-199. https://doi.org/10.1002/(sici)1099-0771(199609)9:3
N. Roese (2005) If only: How to turn regret into opportunity.
W. Samuelson, R. Zeckhauser Status-quo Bias in Decision Making.
L. Savage (1951) The Theory of Statistical Decision. 46(253), 55-67. https://doi.org/10.1080/01621459.1951.10500768
Scribd.com.
Martin Sewell (2007) Behavioral Finance. http://www.behaviouralfinance.net/behavioural-finance.pdf
Shefrin, Statman (1985) Journal of Finance 40(3)777-790 Small Investor Behavior In Istanbul Stock Exchange (ISE). 40(3), 777-790.
Robert Shiller (1999) Chapter 20 Human behavior and the efficiency of the financial system.
Susan Shimanoff (1984) Commonly Named Emotions in Everyday Conversations. 58(2), 514-514. https://doi.org/10.2466/pms.1984.58.2.514
Itamar Simonson (1989) Choice Based on Reasons: The Case of Attraction and Compromise Effects. 16(2), 158. https://doi.org/10.1086/209205
P. Slavic (1975) Choice between equally -valued alternatives. 1(3), 280-287. https://doi.org/10.1037/0096-1523.1.3.280
T. Odean (1998) Are Investors Reluctant to Realize Their Losses?. 53, 1775-1798.
Amos Tversky (1972) Elimination by aspects: A theory of choice. 79(4), 281-299. https://doi.org/10.1037/h0032955
Zeelenberg (2002) The inaction effect in the psychology of regret. 82(3), 314-327. https://doi.org/10.1037/0022-3514.82.3.314
Marcel Zeelenberg (1999) The use of crying over spilled milk: A note on the rationality and functionality of regret. 12(3), 325-340. https://doi.org/10.1080/095150899105800
Marcel Zeelenberg, Rik Pieters (2004) Consequences of regret aversion in real life: The case of the Dutch postcode lottery. 93(2), 155-168. https://doi.org/10.1016/j.obhdp.2003.10.001
Published
2015-02-16
Issue
Section
License
Copyright (c) 2015 Authors and Global Journals Private Limited
This work is licensed under a Creative Commons Attribution 4.0 International License.