Stated and revealed investment decisions concerning retail structured products

Barbara Döbeli and Paolo Vanini

Journal of Banking & Finance, 2010, vol. 34, issue 6, 1400-1411

Abstract: We analyze the investment behavior of private clients with regard to retail structured products. To ascertain their stated and revealed preferences, we use a questionnaire and a field experiment. The real product issued in the field experiment is comparable to the hypothetical product in the questionnaire in terms of both payoff and communication. We find that a product described in simple words strongly motivates people to invest in structured products for the first time, and also eliminates gender differences. However, the real product attracts far fewer first-time buyers than we expected from the questionnaire results.

Keywords: Field; experiment; Behavioral; finance; Structured; products; Revealed; preferences; Stated; preferences (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (15)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbfina:v:34:y:2010:i:6:p:1400-1411

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