Risk-averse investing may or may not be the right approach. Here are the factors you should consider. If you're risk-averse, it generally means you don't like to take risks, or you're comfortable ...

Often we confront risks: opportunities where we have some probability of gaining or losing something and have to decide whether or not to accept the opportunity. The simplest risks are financial. For ...

According to the orthodox treatment of risk preferences in decision theory, they are to be explained in terms of the agent's desires about concrete outcomes. The orthodoxy has been criticized both for ...

Risk aversion is a fundamental trait shaping how individuals, firms and policymakers respond to uncertain outcomes. It encapsulates the preference for certain outcomes over gambles with equivalent ...

Why are the prices of stocks and other assets so volatile? Efficient capital markets theory implies that stock prices should be much less volatile than actually observed, reflecting an unrealistic ...

I collect data on subjects' risk attitudes using real and hypothetical risky choices. I also measure their cognitive ability using the cognitive reflective test (CRT). On average, measured risk ...

Human beings differ in how much risk they will accept. Thus, as an analyst I quoted in a recent column concluded, Russian President Vladimir Putin “was too risk-acceptant” in invading Ukraine and ...

A study explores the social basis of gender differences in risk aversion. Studies have suggested that women tend to be more risk-averse than men. However, whether this difference is biological or ...

Despite growing numbers of people that are forcibly displaced due to conflict, the reality is that many do not flee and continue to live under difficult circumstances. To understand how people make ...

If you're risk-averse, it generally means you don't like to take risks, or you're comfortable taking only small risks. When applied to investing behavior, the meaning changes slightly, and it can ...