The purpose of this study is to test psychological mechanisms on how perceived portfolio returns affect investors and risk-taking, and whether these psychological mechanisms play a moderating role. Past portfolio behavior is important for investors in investment decisio More
The purpose of this study is to test psychological mechanisms on how perceived portfolio returns affect investors and risk-taking, and whether these psychological mechanisms play a moderating role. Past portfolio behavior is important for investors in investment decisions. The statistical population of this research is active investors in Tehran Stock Exchange, the sample was selected by available sampling method. Using a closed questionnaire, collected information to analysis the research hypotheses using structural equations and path analysis with Phoenix software. The results show that expected returns of a portfolio formed in the past make investors more risk-averse and thus show a higher attitude towards risk. From the other side the interaction of psychological characteristics (overconfidence, optimism and willingness of risk taking) has a moderating effect on the relationship between the expected return of the past portfolio and the portfolio turnover, portfolio trading volume and portfolio risk sharing of investors. The results lead to the conclusion that the presence of underlying biases deteriorates financial behaviors.
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AbstractManagers and shareholders engage in Financial information quality and conservatism in order to maximize benefits and maintain collaboration. Or for whatever reason (perhaps morally) they refrain from doing so. The purpose of examining this conflict and cooperati More
AbstractManagers and shareholders engage in Financial information quality and conservatism in order to maximize benefits and maintain collaboration. Or for whatever reason (perhaps morally) they refrain from doing so. The purpose of examining this conflict and cooperation between managers and shareholders of listed companies using game theory is to find a balance point in which the manager and the shareholder are satisfied as the main elements of the game in order to maximize their interests. Accordingly, this study seeks to find a strategy to maximize the equilibrium benefits of managers and shareholders by applying strategic features of accounting information and accounting conservatism. The method of data collection is the method of document mining during the period (1391-1391) and the method of data analysis is inferential and the software used to prepare the data and estimate the models is SPSS. The test results of the research hypotheses show that the combination of high conservatism strategies - high reporting quality and low conservatism - low reporting quality - are the equilibrium points (Nash equilibrium) in the game between the manager and the shareholder. The results show that game theory plays an important role in the relationship between managers and stakeholders; and finding the equilibrium points of the game can play an effective role in the decisions of the game parties (managers and shareholders). In this way, it informs the parties of the game of the strategy that has been most desirable and beneficial for them.
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