IQ and Stock Market Participation

• 成果类型: Article
• 署名作者: Grinblatt, Mark; Keloharju, Matti; Linnainmaa, Juhani
• 署名单位: University of California System; University of California Los Angeles; Aalto University; University of Chicago
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/j.1540-6261.2011.01701.x
• 发表日期: 2011
• 页码: 2121-2164
• 关键词: portfolio choice; RISK; uncertainty

摘要

Stock market participation is monotonically related to IQ, controlling for wealth, income, age, and other demographic and occupational information. The high correlation between IQ and participation exists even among the affluent. Supplemental data from siblings, studied with an instrumental variables approach and regressions that control for family effects, demonstrate that IQ's influence on participation extends to females and does not arise from omitted familial and nonfamilial variables. High-IQ investors are more likely to hold mutual funds and larger numbers of stocks, experience lower risk, and earn higher Sharpe ratios. We discuss implications for policy and finance research.