Journal of Economics and Development, Vol. 14 No. 2 (2012), 52-71. https://doi.org/10.33301/2012.14.02.03
Empirical Research of Disposition Effects in Vietnam’s Stock Market
Abstract
This paper examines some cognitive biases of Vietnamese stock investors by ana- lyzing trading records for 1,201 accounts at a brokerage firm. These investors tend to make poor trading decisions by selling good stocks and buying bad stocks. They demonstrate a significant reference to holding the losing stocks and selling the win- ing stocks which is known as the disposition effect. It provokes many implications for researchers, market practitioners and policy makers.Keywords:Disposition effect, extrapolation bias, prospect theory, behavioral finance.
How to Cite
Nguyen, D. H., Ngo, D., Le, V., & Nguyen, N. T. (2012). Empirical Research of Disposition Effects in Vietnam’s Stock Market. Journal of Economics and Development, 14(2), 52-71. https://doi.org/10.33301/2012.14.02.03