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Given the asymmetry in potential returns for equity investments, how might this impact the behavioral finance concept of loss aversion in investment decision - making?
Given the asymmetry in potential returns for equity
investments, how might this impact the behavioral finance
concept of loss aversion in investment decisionmaking?
Asymmetric potential for high gains could lead more investors to
overcome loss aversion and invest in equities despite the risk.
Asymmetric potential for high oainscould
ovecome loss aversioniand finvestin bond's instead of equitie
Asymmetric potential for high gains would exacerbaterdoss aversion
causing investors to avoid equities.
If an unscrupulous analyst wants to manipulate the
outcome of an absolute valuation, which part of the
process would they most likely focus on
Current market sentiment
Assumptions around discount hates and future cas fows
Prevenue from the most recent financial yal
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