Stockholm Institute for Financial Research

Displaying 1-7 of 7 results

  • White Papers // Feb 2011

    Broker Trading Ahead Of Stock Recommendations

    This paper documents the aggregate positions and profits derived from the trades that pass through brokers surrounding the date of their recommendation revisions. Using ten years of detailed trading data from Sweden, the authors find significant evidence of pre-recommendation trading related to all stock recommendation revisions, but of abnormal profits...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2010

    The Origins Of Savings Behavior

    What are the origins of individual savings behavior? Using data on identical and fraternal twins matched with data on their savings behavior, the authors find that an individual's savings propensity is governed by both genetic predispositions, social transmission from parents to their children, and gene-environment interplay where certain environments moderate...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2010

    Nature Or Nuture: What Determines Investor Behavior?

    Using data on identical and fraternal twins' complete financial portfolios, the authors decompose the cross-sectional variation in investor behavior. They find that a genetic factor explains about one third of the variance in stock market participation and asset allocation. Family environment has an effect on the behavior of young individuals,...

    Provided By Stockholm Institute for Financial Research

  • White Papers // May 2010

    Dopamine And Risk Preferences In Different Domains

    Individuals differ significantly in their willingness to take risks. Such differences may stem, at least in part, from individual biological (genetic) differences. The authors explore how risk-taking behavior correlates with different versions of the Dopamine Receptor D4 gene (DRD4), which has been implicated in previous studies of risk taking. They...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Apr 2010

    Tax Arbitrage With Risk And Effort Aversion - Swedish Lottery Bonds 1970-1990

    Swedish lottery bonds are valuable tax shelters before the tax reform of 1991. By trading around the coupon lottery, high-tax investors with capital gains from the stock market shift their tax liability to low-tax investors. The uncertainty of the coupon lottery and the effort of verifying the winning lottery bond...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2009

    The Evolution Of Aggregate Stock Ownership - A Unified Explanation

    Since World War II, direct stock ownership by households has largely been replaced by indirect stock ownership by financial institutions. The authors argue that tax policy is the driving force. Using long time-series from eight countries, they show that the fraction of household ownership decreases with measures of the tax...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Aug 2009

    What Does CEOs' Personal Leverage Tell Us About Corporate Leverage?

    The authors find that firms behave remarkably similarly to how their CEOs behave personally when it comes to leverage choices. They start the analysis by compiling a comprehensive sample of home purchases and financings among S&P 1,500 CEOs. Debt financing in a CEO's most recent home purchase is used as...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Feb 2011

    Broker Trading Ahead Of Stock Recommendations

    This paper documents the aggregate positions and profits derived from the trades that pass through brokers surrounding the date of their recommendation revisions. Using ten years of detailed trading data from Sweden, the authors find significant evidence of pre-recommendation trading related to all stock recommendation revisions, but of abnormal profits...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2010

    The Origins Of Savings Behavior

    What are the origins of individual savings behavior? Using data on identical and fraternal twins matched with data on their savings behavior, the authors find that an individual's savings propensity is governed by both genetic predispositions, social transmission from parents to their children, and gene-environment interplay where certain environments moderate...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2010

    Nature Or Nuture: What Determines Investor Behavior?

    Using data on identical and fraternal twins' complete financial portfolios, the authors decompose the cross-sectional variation in investor behavior. They find that a genetic factor explains about one third of the variance in stock market participation and asset allocation. Family environment has an effect on the behavior of young individuals,...

    Provided By Stockholm Institute for Financial Research

  • White Papers // May 2010

    Dopamine And Risk Preferences In Different Domains

    Individuals differ significantly in their willingness to take risks. Such differences may stem, at least in part, from individual biological (genetic) differences. The authors explore how risk-taking behavior correlates with different versions of the Dopamine Receptor D4 gene (DRD4), which has been implicated in previous studies of risk taking. They...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Apr 2010

    Tax Arbitrage With Risk And Effort Aversion - Swedish Lottery Bonds 1970-1990

    Swedish lottery bonds are valuable tax shelters before the tax reform of 1991. By trading around the coupon lottery, high-tax investors with capital gains from the stock market shift their tax liability to low-tax investors. The uncertainty of the coupon lottery and the effort of verifying the winning lottery bond...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Sep 2009

    The Evolution Of Aggregate Stock Ownership - A Unified Explanation

    Since World War II, direct stock ownership by households has largely been replaced by indirect stock ownership by financial institutions. The authors argue that tax policy is the driving force. Using long time-series from eight countries, they show that the fraction of household ownership decreases with measures of the tax...

    Provided By Stockholm Institute for Financial Research

  • White Papers // Aug 2009

    What Does CEOs' Personal Leverage Tell Us About Corporate Leverage?

    The authors find that firms behave remarkably similarly to how their CEOs behave personally when it comes to leverage choices. They start the analysis by compiling a comprehensive sample of home purchases and financings among S&P 1,500 CEOs. Debt financing in a CEO's most recent home purchase is used as...

    Provided By Stockholm Institute for Financial Research