Efficiency of SRI portfolios is commonly assessed based on an inconclusive risk-return ra-tio. We propose to approach the efficiency of portfolios with the notion of instability. Un-stable portfolios are characterized by higher transaction costs and human resources costs that justify search for more stable portfolios. We examine the instability of SRI portfolios from the perspective of behavioral finance. Based on data from incentivized experiments with 153 financial professionals and 233 students, we compare a baseline treatment to a ranking treatment in which participants received feedback regarding their average invest-ment in SRI assets. We found that SRI portfolios had significantly lower instability: port-folios with a majority of SRI shares exhibited less instability in both treatments compared to conventional portfolios. Moreover, in the ranking treatment subjects invested more in SRI assets than in the baseline. In addition, the experiment revealed the convergence of professionals' and students' behavioral patterns. (c) 2023 Elsevier B.V. All rights reserved.
机构:
Boston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
CEPR, Chestnut Hill, MA 02167 USABoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Albuquerque, Rui
;
Koskinen, Yrjo
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB, CanadaBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Koskinen, Yrjo
;
Yang, Shuai
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB, CanadaBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Yang, Shuai
;
Zhang, Chendi
论文数: 0引用数: 0
h-index: 0
机构:
Univ Exeter, Business Sch, Exeter, Devon, EnglandBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
机构:
Boston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Boston Coll, ECGI, Chestnut Hill, MA 02467 USABoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Albuquerque, Rui
;
Koskinen, Yrjo
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB T2N 1N4, CanadaBoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Koskinen, Yrjo
;
Zhang, Chendi
论文数: 0引用数: 0
h-index: 0
机构:
Univ Warwick, Warwick Business Sch, Coventry CV4 7AL, W Midlands, EnglandBoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
机构:
Boston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
CEPR, Chestnut Hill, MA 02167 USABoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Albuquerque, Rui
;
Koskinen, Yrjo
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB, CanadaBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Koskinen, Yrjo
;
Yang, Shuai
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB, CanadaBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
Yang, Shuai
;
Zhang, Chendi
论文数: 0引用数: 0
h-index: 0
机构:
Univ Exeter, Business Sch, Exeter, Devon, EnglandBoston Coll, Carroll Sch Management, ECGI, Chestnut Hill, MA 02167 USA
机构:
Boston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Boston Coll, ECGI, Chestnut Hill, MA 02467 USABoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Albuquerque, Rui
;
Koskinen, Yrjo
论文数: 0引用数: 0
h-index: 0
机构:
Univ Calgary, Haskayne Sch Business, Calgary, AB T2N 1N4, CanadaBoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA
Koskinen, Yrjo
;
Zhang, Chendi
论文数: 0引用数: 0
h-index: 0
机构:
Univ Warwick, Warwick Business Sch, Coventry CV4 7AL, W Midlands, EnglandBoston Coll, Carroll Sch Management, CEPR, Chestnut Hill, MA 02467 USA