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Gender matters most. The impact on short‐term risk aversion following a financial crash
Author(s) -
Byder James,
Agudelo Diego A.,
Arango Ignacio
Publication year - 2019
Publication title -
review of financial economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.347
H-Index - 41
eISSN - 1873-5924
pISSN - 1058-3300
DOI - 10.1002/rfe.1038
Subject(s) - risk aversion (psychology) , crash , stock market , business , stock (firearms) , term (time) , monetary economics , stock market crash , financial crisis , economics , financial market , financial economics , finance , financial system , expected utility hypothesis , macroeconomics , mechanical engineering , paleontology , physics , horse , quantum mechanics , computer science , engineering , biology , programming language
This paper examines how investors in an emerging market react to a domestic financial crisis. We conjecture that risk aversion increases following such events and that the effect is more pronounced among specific groups of investors. Our study makes use of a unique dataset of mutual fund investors from one of Colombia's largest stock brokers. Our results reveal that women and self‐employed individuals make the largest withdrawals from risky funds after financial crises.