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Financial Markets and Portfolio Management

Erschienen in:

01.08.2016

Is there Swissness in investment decision behavior and investment competence?

verfasst von: Kremena Bachmann, Thorsten Hens

Erschienen in: Financial Markets and Portfolio Management | Ausgabe 3/2016

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Abstract

Based on a large international survey, we analyze how German-, French-, and Italian-speaking residents of Switzerland differ in their investment decision behavior and investment competence compared to their closest neighbors abroad who speak the same language. Although language may be closer to the individual self than country of residence, we find that there are greater similarities in the decision behavior of residents of Switzerland speaking different languages than there are between these and their linguistically closest neighbors abroad. These similarities hold also for the ability to avoid investment mistakes, which is stronger in all Swiss regions compared to the linguistically closest regions abroad. The Swissness in investment competence is more likely to be emotionally than knowledge driven and is associated with regional differences in the relationships with investment advisors.

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We chose the regions Baden-Wuerttemberg and Bayern in Germany, Lombardia, Piemonte, and Veneto in Italy, and Alsace, Franchecomte, and Rhone-Alps in France.

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Principal component analysis indicates that investment experience is generally not limited to a particular asset class, and experience with different asset classes can be well summarized with one measure.

The Swiss Labor Force Survey is based on statements from about 4000 participants with permanent residence in Switzerland.

Source: https://doi.org/www.bfs.admin.ch/bfs/portal/de/index/themen/20/02/blank/key/vermoegen.html.

Source: https://doi.org/www.bfs.admin.ch/bfs/portal/de/index/themen/15/17/blank/01.indicator.406101.4086.html?open=9#9.

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Titel: Is there Swissness in investment decision behavior and investment competence?
verfasst von: Kremena Bachmann
Thorsten Hens
Publikationsdatum: 01.08.2016
Verlag: Springer US
Erschienen in: Financial Markets and Portfolio Management / Ausgabe 3/2016
Print ISSN: 1934-4554
Elektronische ISSN: 2373-8529
DOI: https://doi.org/10.1007/s11408-016-0274-8

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