Cognitive Biases on the Iran Stock Exchange: Unsupervised Learning Approach to Examining Feature Bundles in Investors’ Portfolios

This paper innovatively analyses the joint occurrence of cognitive biases in groups of stock exchange investors. It considers jointly a number of common fallacies: confirmation bias, loss aversion, gambler’s fallacy, availability cascade, hot-hand fallacy, bandwagon effect, and Dunning–Kruger effect, which have hitherto been studied separately. The paper aims to highlight the diverse range of investor’s profiles which are characterised by such fallacies, and the considerable differences observed based on their age, stock market experience and perception of market trends. The analysis is based on k-means and hierarchical clustering, feature importance and Principal Component Analysis, which were applied to data from the Tehran Stock Exchange. There are a few essential findings which contribute to the existing literature. Firstly, the results show that gender does not have a role to play in diversifying the investors’ profiles. Secondly, cognitive biases are bundled, and we distinguish four investors’ profiles; thus, they should be analysed jointly, not separately. Thirdly, the exposure to cognitive biases differs significantly due to the individual features of investors. The group most vulnerable to almost all analysed biases are inexperienced investors, who are pessimistic about market developments and have invested a large amount. Fourthly, the ages of investors are essential only in connection with other factors such as experience, market perception and investment exposure. Young (20–40 years), experienced investors with huge investments (+1000 mln rials/+24,000 USD) are mostly less exposed to all biases and much less risk-averse. Additionally, older (50+) and experienced investors (5–10 years) who are more optimistic about trends (hot hand bias) were affected much less by cognitive biases, only showing vulnerability to the Dunning–Kruger effect. Fifthly, more than 40% of investors apply consultation and technical analysis approaches to succeed in trading. Finally, from a methodological perspective, this study shows that unsupervised learning methods are effective in profiling investors and bundling similar behaviours.

Investment environment, stock market perception and stock investments after stock market crash

PurposeThis study examines how the importance of external investment environment factors affect stock market perception, and how stock market perception affects stock investments after stock market crash witnessed by individual investors in one of the emerging stock markets.Design/methodology/approachA cross-sectional survey was administrated among 223 individual investors who experienced stock market crash in 2010–2011 in Bangladesh, and the proposed model was tested by the partial least squares-structural equation modeling PLS-SEM model.FindingsFindings show that the importance of Bangladesh's stock market performance, government policy, economic issues and neighboring country's stock market performance has effects on investors' stock market perception. This perception, in turn, decreases monthly stock trading and short-term investment horizon. The findings further show the mediating effect of stock market perception.Practical implicationsInvestors need to carefully consider the external investment environment when they form their stock market perception, as this perception drives stock investments. Analogously, regulators should ensure releasing timely and updated statistics on external investment factors.Originality/valueAddressing those investors who encountered stock market crash, a set of external investment environment issues, stock market perception and stock investments are new in the literature.

Factors Associated with Ewe Death and Casting in an Extensively Farmed Sheep Flock in New Zealand

Ewe deaths affect the productivity and profitability in sheep farming systems and have potential animal welfare and market perception implications. Internationally, there is scant data on the timing and causes of ewe deaths in extensive grazing systems. There is no published literature on the incidence and risk factors associated with casting (ewe in late gestation accidentally immobilised, often in dorsal recumbency). This study, undertaken using a cohort of 1789 ewes on a New Zealand farm, reports on the timing and risk factors associated with production parameters for ewe deaths through an almost two-year period, along with causes of death during both peripartum periods. Ewe deaths occurred throughout both years but were most frequent during the peripartum (pre-lambing to mid-lactation) period. Casting was the most commonly identified cause of death in both years, responsible for approximately a quarter to a third of potential annual mortality. Few risk factors for death or casting were identified. In conclusion, the peripartum period is a high-risk time period for ewe deaths (and, by extension, will also contribute to lamb perinatal mortality). In extensively grazed flocks where casting events occur, it is recommended that all ewes are monitored daily during the peripartum period.

Adoption of FinTech Products: A Systematic Literature Review

Financial technology (FinTech) is currently rising due to its essential impact on the economy. The availability of FinTech provides an easier way for consumers to access various financial products through digitalised platforms. Unfortunately, the rate of FinTech adoption in the market is still scant due to various risks and the market perception towards its products. This article aims to develop a systematic literature review on the FinTech product adoptions during the last decades. The article provides a review of various theoretical frameworks used by previous research. As a result, this study outlines the factors that enhance FinTech adoption from the adopters’ (consumers) and innovators’ (firms) standpoint. The article also offers a new theoretical framework to enhance market adoption by highlighting firms’ internal and external focus together with consumers’ internal and external factors. This study highlights the importance of communications between firms and consumers in order for the firms to match their focus with consumers’ factors to enhance the FinTech adoption.

Is the Pelješac Bridge Construction Going to Affect Tourism Sustainability of the Peninsula?

The whole area of Dubrovnik-Neretva county, situated in the southeastern part of Croatia, is at the moment, in terms of road accessability, still not satisfactorily connected with the rest of Croatia. The lack of its accessability is mostly caused by the fact that Bosnia and Herzegovina's border line cuts in two the Dubrovnik-Neretva county's (land) territory. As a result, on the way from southwest to southeast, or from Split to Dubrovnik, one needs to cross the state border with Bosnia and Herzegowina twice. The construction of the Peljesac Bridge (together with a set of interconnecting roads) should improve the present situation significantly, mainly due to the expected redirection of most of the traffic to the new route accross the Pelješac peninsula. It is fair to assume that this will additionally 'open' the entire Pelješac peninsula to the increased tourism related traffic, especially to the demand of one day visitors and/or weekend guests originating from the nearby regions. Since this will, most lilkely, create additional pressure on the environment, the aim of this paper is to investigate the extent to which, if any, the construction of the Pelješac bridge might affect future market perception, and, thus, the long term tourism sustainability of the Pelješac peninsula.

Role of Higher Education in the Development of Generic Competencies for Job Market: Perception of University Graduates

The quantity of higher education is rapidly increasing, but the quality is still questioned about provision of generic competencies among graduates. In order to increase employability of graduates the universities are making efforts to equip graduates with skills and capabilities to integrate them in the job market. The principle objective of the current study is to investigate the perceptions of university graduates about the role of higher education in the development of generic competencies for job market. A quantitative survey research design was used. The total 510 graduates were selected through convenient sampling technique from three public universities. The collected data were analyzed with the help PSL-SEM. The results showed the higher education developed generic competencies among graduates partially, hence not fulfilling the need to actual extent which is required in the job market.

MORE ON THE QUESTION OF RURAL AREAS MULTIFUNCTIONALITY

The approaches of Russian and foreign scientists to studying rural areas multifunctionality differ significantly. Domestic researchers consider this problem from the standpoint of public goods in agricultural production, agricultural production diversification, rural population livelihoods, land use, and sustainable development of rural areas. In all cases, we are talking about implementation of functions within rural areas without raising the question of buying and selling their intangible attributes. In foreign publications, two pragmatic approaches are seen within the concept of multifunctionality. The first approach is the market perception of rural areas as consumer spaces. In this case, the intangible attributes of the territories (landscape, nature, heritage or culture) are considered as a sold and bought product. The second approach is an approach from the standpoint of protection against negative market consequences in international food trade. The non-productive functions of agriculture are taken into account in the WTO negotiations as non-trade factors. This helps to protect the agriculture of many countries from the destructive effects of foreign trade. The article proposes to move from staged studies of the issue of multifunctionality to a constructive consideration of the material and non-material potential for implementing the rural areas' production and non-production functions. The purpose of the study is to determine the material and non-material basis of rural areas multifunctionality using the example of the North-West of Russia. The objectives of the study are to establish the capabilities of rural areas to perform their functions of: a) the international, b) the federal, c) the regional and d) the local significance; and on the basis of the idea of multifunctionality, to determine the ways for creating consumer spaces in rural areas. The following methods were used: decomposition of goals, the index one, the monographic and the grouping method. We used the materials by: Rosstat, Ministry of Natural Resources of Russia, Ministry of Culture of Russia. Municipal areas with the orientation of agricultural products to the international, federal and regional markets have been identified. The characteristic of intangible attributes - the carriers of non-production functions of rural areas for the international, federal, regional and local levels - was given. The objects of specially protected natural areas and objects of cultural heritage are considered in accordance with their level of importance. The sequence of forming the consumer spaces in rural areas has been established in the direction from defining a geographical image through creating an image to developing a brand.