A Study of Trading Behavior of Individual Investors at a Discount

question 25

Multiple Choice

A study of trading behavior of individual investors at a discount brokerage found that individual investors:

• A)trade very actively,despite the fact that their performance is actually worse because of trading costs.
• B)trade very conservatively,despite the fact that their performance is actually worse because of trading costs.
• C)trade very actively,partly because their performance is better than the professionals' because of low trading costs.
• D)trade very conservatively,partly because their performance is better than the professionals' because of low trading costs.

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Definitions:

Family Constellation

A therapeutic approach aimed at revealing and addressing hidden dynamics within a family or relationship to resolve issues.

Basic Mistakes

A term potentially related to cognitive or behavioral therapy referring to fundamental errors in thinking or behavior that can lead to psychological distress. (If not a recognized term, then NO.)

Brief Psychodynamic Therapies

A form of therapy focusing on unconscious processes as they are manifested in a person's present behavior, with an emphasis on shorter treatment durations.

Transference Phenomena

In psychotherapy, the redirection of a client's feelings for a significant person in their life towards the therapist, often unconsciously replicating past behaviors and emotional conflicts.