Automatic versus manual investing: Role of past performance

IF 6.1 2区 经济学 Q1 BUSINESS, FINANCE
Said Kaawach , Oskar Kowalewski , Oleksandr Talavera
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引用次数: 0

Abstract

Using unique data from a leading peer-to-peer (P2P) lending platform, we investigate the link between past investment performance and choice of auto-investing tool. Our results suggest that investors who experience fewer defaults in the manual mode are more inclined to switch to automatic investment. Several factors account for this relationship, including investor inattention, decision speed, investment delegation, and experience. Regarding the latter, our results suggest that experienced investors are more likely to continue self-directed bidding, even if they have faced defaults in manual investments in the past. These investors may attribute their previous mistakes to their own actions rather than the limitations of the self-directed bids. Our results are robust to alternative specifications.

自动投资与手动投资:过往业绩的作用
我们利用领先的点对点(P2P)借贷平台的独特数据,研究了过往投资业绩与自动投资工具选择之间的联系。我们的研究结果表明,在手动模式下违约次数较少的投资者更倾向于转为自动投资。造成这种关系的因素有几个,包括投资者注意力不集中、决策速度、投资委托和经验。关于后者,我们的结果表明,经验丰富的投资者更有可能继续自主投标,即使他们过去在手动投资中遇到过违约。这些投资者可能会将之前的失误归咎于自己的行为,而不是自主投标的局限性。我们的结果对其他规格都是稳健的。
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来源期刊
CiteScore
7.70
自引率
9.30%
发文量
78
审稿时长
34 days
期刊介绍: The Journal of Financial Stability provides an international forum for rigorous theoretical and empirical macro and micro economic and financial analysis of the causes, management, resolution and preventions of financial crises, including banking, securities market, payments and currency crises. The primary focus is on applied research that would be useful in affecting public policy with respect to financial stability. Thus, the Journal seeks to promote interaction among researchers, policy-makers and practitioners to identify potential risks to financial stability and develop means for preventing, mitigating or managing these risks both within and across countries.
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