Gita Johar

Taking Stock of Stockbrokers: Exploring Momentum Versus Contrarian Investor Strategies and Profiles

Coauthor(s): Maureen Morrin, Jacob Jacoby, Xin He, Alfred Kuss, David Mazursky. View Publication

Abstract:
Two studies were conducted among professional security analysts to explore their patterns of decision making while managing investment portfolios. In study 1, a computer-based simulation, the analysts' styles differed markedly, with most exhibiting either a momentum or contrarian approach, as indicated by responses to portfolio stock price changes. Study 2 used a verbal protocol procedure and semistructured depth interviews to probe the analysts' thought processes. Momentum and contrarian investors were found to differ on a number of dimensions including price expectations, age, experience, raw performance, risk propensity, cognitive style, knowledge calibration, and strategy adaptivity. Implications and limitations are discussed.

Source: Journal of Consumer Research
Exact Citation:
Morrin, Maureen, Jacob Jacoby, Gita Johar, Xin He, Alfred Kuss, and David Mazursky. "Taking Stock of Stockbrokers: Exploring Momentum Versus Contrarian Investor Strategies and Profiles." Journal of Consumer Research 29, no. 2 (September 2002): 188-98.
Volume: 29
Number: 2
Pages: 188-98
Date: 9 2002