Judgmental overconfidence, self-monitoring and trading performance in an experimental financial market

By Bruno Biais, Denis J. Hilton, Karine Mazurier, Sébastien Pouget. 2005

505 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance

View Paper: https://www.semanticscholar.org/paper/bf22149d71fcd96666b283817a76239b5e259ab1

How researchers see this paper

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

In Economics and Econometrics

In Finance

Citations in the corpus

Impact of herding behavior and overconfidence bias on investors’ decision-making in Pakistan (2019, unknown): “Biais et al. (2005) studied the impact of judgmental overconfidence and self-mongering bias in the investment decision by observing the behavior of 215 participants.”
Portfolio Choice and Risk Attitudes: An Experiment (2003, unknown): “Biais et al. (2005) explicitly measure one’s disposition toward overconfidence by administering psychological tests and find that overconfident traders do tend to overestimate the precision of their signals and earn relatively low profits in the accompanying experimental trading session.”
The impact of experience on risk taking, overconfidence, and herding of fund managers: Complementary survey evidence (2006, result): “This latter conclusion has been challenged by the empirical study of Glaser and Weber (2004) and the experiment of Biais et al. (2004) which both show that trading volume and overconfidence defined as miscalibration are unrelated. However, if overconfidence is regarded as unrealistically positive se”
Talk and Action: What Individual Investors Say and What They Do (2005, unknown): “, Blume and Friend (1975) and the 1998 U.”
Who is the more overconfident trader? Individual vs. institutional investors (2011, background): “Consistent with the overconfidence hypothesis, Chuang and Lee (2006) also find that U.S. investors’ overconfident trading is higher in bull markets than in bear markets, when their forecasts are correct more often than wrong, and that they trade more in riskier securities after market gains than in ”
Are Overconfident CEOs Better Innovators? (2012, unknown): “Overconfidence also varies with gender (Barber and Odean 2001, Biais et al. 2005), culture (Lee et al. 1995, Koellinger, Minniti and Schade 2007), and whether the individual is an expert in the decision domain (Wagenaar and Keren 1986). to be consonant with the self-image of a manager who is…”
National Culture and Corporate Cash Holdings around the World (2015, background): “In contrast, people from collectivist cultures display higher self-monitoring, which significantly lessens cognitive bias from overconfidence (Biais et al., 2005).”
Will Women be Women? Analyzing the Gender Difference Among Financial Experts (2008, methodology): “Cf. e.g. Biais et al. (2005), Glaser et al. (2005) or Menkhoff et al. (2006) for using similar measures.”
Overconfidence and Social Signalling (2013, result): “We further corroborate this interpretation by examining how individual personality differences affect relative ability judgments (see Biais et al., 2005, for an earlier study of the implication of personality traits on overconfidence).”
Investors’ trading activity: A behavioural perspective and empirical results (2011, result): “In spite of the fact that some studies have found no difference in overconfidence between men and women (Lundeberg et al., 2000; Deaves et al., 2003; Biais et al., 2005), the majority of the literature suggests that men are apparently more predisposed to overconfidence than women (Lundeberg et al.,…”