EDHEC

Financial Innovation and Household Finance

On November 3, at the NBER Behavioral Finance Meeting in Cambridge (MA), EDHEC PhD in Finance core faculty member Professor Laurent Calvet will present with his co-authors Claire Celerier, Paolo…
Reading time :
3 Nov 2017
Share

On November 3, at the NBER Behavioral Finance Meeting in Cambridge (MA), EDHEC PhD in Finance core faculty member Professor Laurent Calvet will present with his co-authors Claire Celerier, Paolo Sodini, and Boris Vallee, a recent paper entitled “Can Financial Innovation Solve Household Reluctance to Take Risk?”

In this paper, the authors observe that, a simple portfolio choice model shows that household loss aversion best explains the demand for structured products and the empirical facts. Their results illustrate how financial innovation can mitigate investor behavioral biases.

Access the paper:  http://conference.nber.org/confer//2017/BFf17/Calvet_Celerier_Sodini_Vallee.pdf

Founded in 1920, the National Bureau of Economic Research (NBER) is a private, non-profit, non-partisan organization dedicated to conducting economic research and to disseminating research findings among academics, public policy makers, and business professionals.

Other articles you may
be interested in

03.05.2024 - EDHEC
"Being a top-level athlete means agreeing to repeat the same movement over and over again": Louise Lefebvre, bipalm swimmer
Tales of sport: a series of testimonies in which EDHEC students – high-level…
30.04.2024 - EDHEC
EDHEC strengthens the social openness of its campuses with Empower College
EDHEC Business School and Empower College, a post-baccalaureate school set up…
26.04.2024 - EDHEC
Discover the results of the 2nd Barometer on connected health
April 2024 - Bristol Myers Squibb France and EDHEC Business School unveil the…