Sentences with phrase «risk aversion»

"Risk aversion" refers to the tendency of individuals or investors to avoid or dislike taking risks. They prefer choices or options with a lower possibility of negative outcomes or losses. Full definition
Part of the source of risk aversion in scientists may be that the career of science can be very attractive to risk - averse people!
That is another sign of risk aversion in the present environment.
Equity markets briefly sold off on risk aversion at midweek before recovering losses.
As 2006 unfolds, the trend will be towards increased risk aversion.
That initial study assessed financial risk aversion among male and female students and found men are more willing to take financial risks than women.
For example, during a period of economic downturn, government bonds tend to outperform as risk aversion increases and interest rates fall.
They were certainly effective over the short run, particularly in fostering a significant reduction in the level of investor risk aversion.
«If it wasn't for risk aversion, we'd be through parity already,» she said.
And the refund of premium at the end of the term, net - net, could be worth it if you have high risk aversion and are a value - seeker.
Essentially, this is equivalent to saying that investors have shifted toward risk aversion in an environment where valuations are rich and risk premiums are extremely thin.
Their approach captures the idea that downside risk aversion makes investors view assets with high beta during bad market conditions as particularly risky.
Easy money is over and this implies lower prices for all sorts of risky assets, higher volatility, higher global risk aversion and more market turmoil.
Unfortunately, this amount of increased competition has also resulted in more risk aversion.
This spread between money borrowed and money returned to shareholders may be caused by the previously mentioned excessive risk aversion or investor ignorance.
If you have a low risk aversion you will want to stick to various investment vehicles like certificates of deposit and money market mutual funds.
Those levels were measured before and after participants took a computerized test of their tendencies for financial risk aversion.
But heightened risk aversion still exists, and leagues have appearances to keep up anyway.
That same risk aversion makes us unlikely candidates for starting companies or going for a high - stakes, high - risk scientific prize.
One additional area where risk aversion appears to be taking root?
But what happens if another bout of risk aversion grips financial markets and crude prices drop back into the 30s?
When put in that context a little risk aversion makes perfect sense.
So, typically, bond yields and stock prices move in opposite direction (although this inverse correlation can break down during periods of heightened risk aversion).
The authors say this is the first experiment to show that environment can influence the social transmission of fear and reveals how risk aversion can be learned.
Fear of professional discipline or malpractice claims, coupled with the natural risk aversion of many lawyers makes experimentation a difficult sell to the legal profession.
There are many other scientific, economic, and ethical questions to resolve first, including the proper discount rate and level of societal risk aversion.
In particular, individuals highly affected by climate volatility show a long term risk aversion.
But, while risk aversion and volatility were falling and asset prices were rising, economic growth remained sluggish throughout the world.
Banks have now become highly risk averse, and tougher regulation reinforces risk aversion.
Everybody's situation is different because everybody has different preferences, constraints, risk aversion attitudes, etc..
Risk aversion means having the emotional discipline to act when perceived risk conflicts with real risk.
When buying or selling stock it is important understand risk aversion.
Risk aversion seems to come to us naturally, preventing us from stepping into unfamiliar territory.
You should consult your own risk aversion and decide how much money to put in each.
But once we introduce risk aversion, the focus needs to shift to accommodate the aversion versus maximizing returns.
Otherwise, no investor with greater or lesser risk aversion would be willing to put their capital at risk versus storing their money in a more certain asset with lower risk.
However it pays to remember risk aversion is why big companies never make anything interesting.
Studies on risk aversion demonstrate that the more personal a risk appears, the more likely we are to take it seriously.
And the same risk aversion concept applies to the life of a matter.
They can also act in an advisory role to recommend possible risk aversion measures and cost savings that could be made.
If anything, it happens less than before, given ongoing consolidation and risk aversion among publishers.
The way I would think about risk aversion is most people would not want to toss a coin for their entire net worth.
And the refund of premium at the end of the term, net - net, could be worth it if you have high risk aversion and are a value - seeker.
«There was definitely a bigger - company mentality: Things took longer, [and] there was more risk aversion,» she says.
But what happens if another bout of risk aversion grips financial markets and crude prices drop back into the 30s?
Despite the wide market of female gamers, large studios have been slow to introduce new female leads due to their natural risk aversion.
This uncertainty has generated a degree of risk aversion on the part of lenders that has led to a more tightly lender - controlled closing process.
Bullion is also being supported by risk aversion amid tensions on the Korean peninsula.
Asset allocation works hand in hand with risk aversion because if an investor is more risk averse and wants to preserve capital they may decide to purchase a collection of various blue chip large cap stocks in addition to bonds and certificates of deposit so if any one sector or instrument drops significantly the overall portfolio isn't as negatively affected.
After that, however, it was just downhill for the Kiwi from there, as risk aversion returned mainly because of Hurricane Irma, although occasional headlines about North Korea, as well as expectations of tighter monetary conditions in the Euro Zone after the ECB statement also helped to dampen risk - taking a bit.
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