Just How Much Do Individual Investors Lose by Trading

895 citations recorded by the source corpus.

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

Do Retail Trades Move Markets (2009, background): “Barber et al. (2005) document that individual investors can earn shortterm profits by supplying liquidity.”
IQ, Trading Behavior, and Performance (2012, neutral): “(2008) and Barber et al. (2009) who find correlated trades among individual investors at daily, weekly, monthly, and quarterly horizons.”
Is Unbiased Financial Advice to Retail Investors Sufficient? Answers from a Large Field Study (2012, background): “Looking at the aggregate portfolio of individual Taiwanese investors, Barber et al. (2009) document an annualized loss of 3.8%.”
Individual and institutional herding and the impact on stock returns: Evidence from Taiwan stock market (2013, background): “As for individual investors, Barber et al. (2009b) find that stocks heavily bought by individual investors outperform those heavily sold for three to four weeks and that the pattern reverses for the next several weeks.”
Local Effects of Foreign Ownership in an Emerging Financial Market: Evidence from Qualified Foreign Institutional Investors in Taiwan (2009, background): “7The turnover rates for Taiwan individual investors as reported by Barber et al. (2009) are even higher.”