Google search volume and individual investor trading
| Autor: | Steffen Meyer, Dimitrios Kostopoulos, Charline Uhr |
|---|---|
| Jazyk: | angličtina |
| Rok vydání: | 2020 |
| Předmět: |
Economics and Econometrics
050208 finance Index (economics) Financial economics 05 social sciences Volume (computing) Asset allocation Investor sentiment language.human_language Trading behavior German 0502 economics and business language Stock market Business 050207 economics Proxy (statistics) Individual investor Finance |
| Zdroj: | Uhr, C, Meyer, S & Kostopoulos, D 2020, ' Google search volume and individual investor trading ', Journal of Financial Markets, vol. 49 . Kostopoulos, D, Meyer, S & Uhr, C 2020, ' Google search volume and individual investor trading ', Journal of Financial Markets, vol. 49, 100544 . https://doi.org/10.1016/j.finmar.2020.100544 |
| DOI: | 10.1016/j.finmar.2020.100544 |
| Popis: | We relate Google search volumes, which are a proxy for the economic concerns of households (the FEARS index), to the trading behavior of approximately 100,000 individual German online-brokerage clients. We find that when the FEARS index is high, individual investors trade out of risky assets. Additionally, we find that the FEARS index has a negative short-horizon relation to stock market returns, which reverses over the following six days. This shows that the effect of economic concerns on the market is temporary, whereas on individual investors, the effect does not reverse within the next 20 days. In addition, we find that less sophisticated investors are more prone to sentiment. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
|