TY - JOUR
T1 - Will investors change their superannuation fund given the choice?
AU - Fry, T.
AU - Heaney, Richard
AU - McKeown, W.
PY - 2007/6
Y1 - 2007/6
N2 - A large number of Australian investors have been granted the right to choose where their superannuation fund contributions will be invested, but it is difficult to ascertain whether investors will exercise this choice. Although expectedutility-maximizing investors might tend to change their fund once given the choice, loss averse investors would favour the status quo. Using a survey of over 1600 Australian investors, conducted by FinaMetrica in early 2005, we find support for inertia (status quo) in our sample suggesting that, with respect to superannuation choice, individual Australian investors are loss averse.
AB - A large number of Australian investors have been granted the right to choose where their superannuation fund contributions will be invested, but it is difficult to ascertain whether investors will exercise this choice. Although expectedutility-maximizing investors might tend to change their fund once given the choice, loss averse investors would favour the status quo. Using a survey of over 1600 Australian investors, conducted by FinaMetrica in early 2005, we find support for inertia (status quo) in our sample suggesting that, with respect to superannuation choice, individual Australian investors are loss averse.
U2 - 10.1111/j.1467-629X.2006.00203.x
DO - 10.1111/j.1467-629X.2006.00203.x
M3 - Article
SN - 0810-5391
VL - 47
SP - 267
EP - 283
JO - Accounting and Finance
JF - Accounting and Finance
IS - 2
ER -