Local religious beliefs and mutual fund risk-taking behaviors

Management Science

Volumn 58, Issue 10, 2012, Pages 1779-1796

  Shu, Tao ^a   Sulaeman, Johan ^b   Yeung, P Eric ^a,c  

^a UNIVERSITY OF GEORGIA   (United States)

^b SOUTHERN METHODIST UNIVERSITY   (United States)

^c The Samuel Curtis Johnson Graduate School of Management   (United States)

Author keywords

Geographic location; Mutual funds; Religion; Risk taking

Indexed keywords

FUND MANAGERS; GEOGRAPHIC LOCATION; MUTUAL FUNDS; PORTFOLIO TURNOVER; RELIGION; RISK TAKING;

MANAGEMENT; MANAGEMENT SCIENCE;

INVESTMENTS;

EID: 84867545360     PISSN: 00251909     EISSN: 15265501     Source Type: Journal    
DOI: 10.1287/mnsc.1120.1525     Document Type: Article

References (47)

1. Andersen K, Terp A (2006) Perspectives on Strategic Risk Management (Copenhagen Business School Press, Denmark).
2. Bainbridge W (1989) The religious ecology of deviance. Amer. Sociol. Rev. 54:288-295.
3. Barsky RB, Juster FT, Kimball MS, Shapiro MD (1997) Preference parameters and behavioral heterogeneity: An experimental approach in the health and retirement study. Quart. J. Econom. 112:537-579.
4. Benjamin DJ, Choi JJ, Fisher G (2010) Religious identity and economic behavior. Working paper, National Bureau of Economic Research, Cambridge, MA.
5. Brown KC, Harlow WV, Starks LT (1996) Of tournaments and temptations: An analysis of managerial incentives in the mutual fund industry. J. Finance 51:85-110.
6. Busse J (2001) Another look at mutual fund tournaments. J. Financial Quant. Anal. 36:53-73.
7. Carhart MM (1997) On persistence in mutual fund performance. J. Finance 52:57-82.
8. Chen H-L, Pennacchi G (2009) Does prior performance affect a mutual fund's choice of risk? Theory and further empirical evidence. J. Financial Quant. Anal. 44:745-775.
9. Chevalier J, Ellison G (1997) Risk taking by mutual funds as a response to incentives. J. Political Econom. 105:1167-1200.
10. Chevalier J, Ellison G, (1999) Career concerns of mutual fund managers. Quart. J. Econom. 114:389-432.
11. Christoffersen SK, Sarkissian S (2009) City size and fund performance. J. Financial Econom. 92:252-275.
12. Christoffersen SK, Sarkissian S (2011) The demographics of fund turnover. J. Financial Intermediation 20:414-440.
13. Cochran JK, Akers RL (1989) Beyond hellfire: An exploration of the variable effects of religiosity on adolescent marijuana and alcohol use. J. Res. Crime and Delinquency 26:198-225.
14. Coval JD, Moskowitz TJ (1999) Home bias at home: Local equity preference in domestic portfolios. J. Finance 54:2045-2073.
15. Coval JD, Moskowitz TJ (2001) The geography of investment: Informed trading and asset prices. J. Political Econom. 109:811-841.
16. Dyreng SD, Mayew WJ, Williams WD (2010) Religious social norms and corporate financial reporting. Working paper, Duke University, Durham, NC.
17. Emery HC (1900) The place of the speculator in the theory of distribution. Publ. Amer. Econom. Assoc. 1(1):103-122.
18. Evans TD, Cullen FT, Dunaway RG, Burton VS Jr (1995) Religion and crime reexamined: The impact of religion, secular controls, and social ecology on adult criminality. Criminology 33:195-246.
19. Gasper K, Clore GL (1998) The persistent use of negative affect by anxious individuals to estimate risk. J. Personality Soc. Psych. 5:1350-1363.
20. Grinblatt M, Keloharju M (2009) Sensation seeking, over confidence, and trading activity. J. Finance 64:549-578.
21. Grullon G, Kanatas G, Weston J (2009) Religion and corporate (mis)behavior. Working paper, Rice University, Houston.
22. Guiso L, Sapienza P, Zingales L (2003) People's opium? Religion and economic attitudes. J. Monetary Econom. 50:225-282.
23. Halek M, Eisenhauer JG (2001) Demography of risk aversion. J. Risk Insurance 68:1-24.
24. Heaton TB, Pratt EL (1990) The effects of religious homogamy on marital satisfaction and stability. J. Family Issues 11:191-207.
25. Hilary G, Hui KW (2009) Does religion matter in corporate decision making in America? J. Financial Econom. 93:455-473.
26. Hogg A, Abrams D (1988) Social Identifications: A Social Psychology of Intergroup Relations and Group Processes (Routledge, London).
27. Huang J, Sialm C, Zhang H (2011) Risk shifting and mutual fund performance. Rev. Financial Stud. 24:2575-2616.
28. Kacperczyk M, Sialm C, Zheng L (2005) On the industry concentration of actively managed equity mutual funds. J. Finance 60:1983-2011.
29. Kacperczyk M, Sialm C, Zheng L (2008) Unobserved actions of mutual funds. Rev. Financial Stud. 21:2379-2416.
30. Kempf A, Ruenzi S (2008) Tournaments in mutual-fund families. Rev. Financial Stud. 21:1013-1036.
31. Kempf A, Ruenzi S, Thiele T (2009) Employment risk, compensation incentives, and managerial risk taking: Evidence from the mutual fund industry. J. Financial Econom. 92:92-108.
32. Kumar A, Page J, Spalt O (2011) Religious beliefs, gambling attitudes, and financial market outcomes. J. Financial Econom. 102:671-708.
33. La Porta R, Lopez-de-Silanes F, Shleifer A, Vishny R (1999) The quality of government. J. Law, Econom. Organ. 15:222-279.
34. Lehrer EL, Chiswick CU (1993) Religion as a determinant of marital stability. Demography 30(3):385-404.
35. Malinowski B (1925) Magic, Science, and Religion (Doubleday, Garden City, NY).
36. McGuire ST, Omer TC, Sharp NY (2012) The impact of religion on financial reporting irregularities. Accounting Rev. 87(2):645-673.
37. Miller AS, Hoffmann JP (1995) Risk and religion: An explanation of gender differences in religiosity. J. Sci. Stud. Religion 34: 63-75.
38. Nanda V, Wang J, Zheng L (2004) Family values and the star phenomenon: Strategies of mutual fund families. Rev. Financial Stud. 17:667-698.
39. Raylu N, Oei T (2002) Pathological gambling: A comprehensive review. Clinical Psych. Rev. 22:1009-1066.
40. Rokeach M (1968) Beliefs, Attitudes, and Values (Jossey-Bass, San Francisco).
41. Schneider B (1987) The people make the place. Personnel Psych. 40:437-453.
42. Stulz RM, Williamson R (2003) Culture, openness, and finance. J. Financial Econom. 70:313-349.
43. Tajfel H (1978) Differentiation Between Social Groups: Studies in the Social Psychology of Intergroup Relations (Academic Press, London).
44. Thornton A, Axinn WG, Hill DH (1992) Reciprocal effects of religiosity, cohabitation, and marriage. Amer. J. Sociol. 98: 628-651.
45. Weber M (1930) The Protestant Ethic and the Spirit of Capitalism (Allen and Unwin, CrowsNest, London).
46. Yates J, Stone E (1992) Risk-Taking Behavior (John Wiley & Sons, New York).
47. Zhao X (2005) Exit decisions in the U.S. mutual fund industry. J. Bus. 78:1365-1402.