Wealth, Information Acquisition, and Portfolio Choice

By Joel Peress. 2004

270 citations recorded by the source corpus.

Subfields: Accounting, Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/318b2a59cfdbf26b9a5efceff64b4d1b2c4bb334

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Citations in the corpus

Does It Pay to Pay Attention (2018, unknown): “…attention and should pay attention up to the point where the improvement in investment performance equals the costs of information acquisition (see, among others, Peress (2004), Peng and Xiong (2006), Van Nieuwerburgh and Veldkamp (2009, 2010), Kacperczyk, Van Nieuwerburgh, and Veldkamp (2016)).”
Twin Picks: Disentangling the Determinants of Risk-Taking in Household Portfolios (2013, unknown): “[69] Peress, Joël, 2004, Wealth, information acquisition, and portfolio choice, Review of Financial Studies 17, 879-914.”
Hedging, Familiarity and Portfolio Choice (2006, unknown): “If we assume a standard information technology, a wealthier investor would be willing to spend more to purchase private information on a particular stock than a less wealthy investor, because the relative cost of investing in information decreases with the level of wealth (Peress, 2004).”
Determinants of University Working-Students’ Financial Literacy at the University of Cape Coast, Ghana (2012, background): “Peress (2004) modelled theoretically the investment of individuals in financial information.”
Heterogeneity and Persistence in Returns to Wealth (2018, unknown): “In a world where individuals have identical access to a menu of instruments (including debt, private equity and housing) differing by risk, liquidity and other features, as in Quadrini (2000), Cagetti and De Nardi (2009; 2006) and Aoki and Nirei (2017), the return to net worth is:”
An empirical analysis of wealth taxation: Equity vs. tax compliance (2007, unknown): “55 For instance, on the one hand, given the supposed better financial information at hands of rich people and their better processing (Peress, 2003), we would expect that their financial portfolio generated returns over an average stock index.”
Product Market Competition, Insider Trading, and Stock Market Efficiency (2010, unknown): “Peress (2004) demonstrates the convergence and the accuracy of such an approximation in a noisy rational expectations economy.”
Chapter 21 - Household Finance: An Emerging Field∗ (2013, unknown): “25 Peress (2004) proposes a model in which wealthier households take more financial risk because they acquire more information in equilibrium.”
Information, overconfidence and trading: Do the sources of information matter? (2012, background): “Peress (2004) shows very risk-averse investors benefit little from information because they would invest little in stocks even if they had very precise information.”
Hybrid support vector machine rule extraction method for discovering the preferences of stock market investors: Evidence from Montenegro (2015, background): “These choices were also made by very wealthy foreign and domestic individual investors (as opposed to findings of Peress (2004), who has shown that wealthier individual investors were less averse to risk), as well as domestic and foreign organizations that traded in the market (funds) every day.”
Durable consumption and asset management with transaction and observation costs (2012, unknown): “This effect is akin to the one first studied by Verrecchia (1982) (see Corollary 1) and Peress (2004) (Theorem 2) who show that agents with a higher risk aversion have weaker incentives to obtain precise signals (i.e. information) about the return of the risky asset.23 In our context this channel…”
Are Economists More Likely to Hold Stocks (2007, unknown): “Such costs include not only the monetary costs associated with investments in the stock market, but also costs reflecting time spent on understanding risk-return trade-offs and information about stock markets all-in-all (Vissing-Jørgensen, 2004; Peress, 2004; and Guiso & Jappelli, 2003).”
Ratings Shopping and Asset Complexity: A Theory of Ratings Inflation (2009, background): “More recent work on investor-initiated information acquisition includes Barlevy and Veronesi (2000), Bullard, Evans and Honkapohja (2005) and Peress (2004).”