Positive Illusions and Forecasting Errors in Mutual Fund Investment Decisions

This study examines the portfolio allocation decisions of 80 business students in a computer-based investing simulation. Our goal was to better understand why investors spend so much time and money on actively managed mutual funds despite the fact that the vast majority of these funds are outperformed by pas sively managed index funds. Participants' judgments and decisions provided evidence for a number of biases. First, most participants consistently overestimated both the future perfor mance and the past performance of their investments. Second, participants overestimated the intertemporal consistency of portfolio performance. Third, participants were more likely to shift their portfolio allocation following poorer performance than following better performance, and this tendency had a negative impact on portfolio returns. We speculate that these biases in investor behavior may contribute to suboptimal investment decisions in real financial markets.     

Happiness and Stock-Market Participation: Empirical Evidence from China

Using the data from the China Household Finance Survey in 2011, we study the relation between happiness and stockholding. We find that a household’s propensity of investing in stocks or mutual funds, as well as household asset shares invested in stocks or mutual funds, is strongly associated with happiness. Moreover, empirical results suggest that among the three potential channels we propose, the association between happiness and stockholding is driven by trust (or social capital), rather than households’ risk preference or optimism level.     

Children’s understandings of counting: Detection of errors and pseudoerrors by kindergarten and primary school children

In this study, the development of comprehension of essential and nonessential aspects of counting is examined in children ranging from 5 to 8 years of age. Essential aspects, such as logical rules, and nonessential aspects, including conventional rules, were studied. To address this, we created a computer program in which children watched counting errors (abstraction and order irrelevance errors) and pseudoerrors (with and without cardinal value errors) occurring during a detection task. The children judged whether the characters had counted the items correctly and were asked to justify their responses. In general, our data show that performance improved substantially with age in terms of both error and pseudoerror detection; furthermore, performance was better with regard to errors than to pseudoerrors as well as on pseudoerror tasks with cardinal values versus those without cardinal values. In addition, the children’s justifications, for both the errors and pseudoerrors, made possible the identification of conventional rules underlying the incorrect responses. A particularly relevant trend was that children seem to progressively ignore these rules as they grow older. Nevertheless, this process does not end at 8 years of age given that the conventional rules of temporal and spatial adjacency were present in their judgments and were primarily responsible for the incorrect responses.     

An Exploration of Families' Psychosocial Well-Being in a South African Context

The aim of this study was to explore and describe aspects that contribute to the psychosocial well-being of families from diverse cultures in a South African context by analysing data obtained through narratives, drawings and interviews with families. Participant families took part voluntarily in family interviews (N=36), written narratives (N=23) and drawings (N=14). These different methods of data collection provided rich data on family psychosocial well-being in a South African context with culturally diverse families, as well as on those aspects that influence family psychosocial well-being. The findings suggest that communication, mutual support, togetherness as a family and spirituality are the most prominent contributing factors, while financial difficulties and interpersonal conflicts or arguments are the most prominent hindering factors with regard to family psychosocial well-being in this group of participants.     

The moderating effects of financial broad‐scope trust on consumer knowledge,cognitive effort,and financial healthiness

Substantial research results suggest the global financial crisis has negatively affected consumers' trust in financial service providers. Notably, trust not only relates to consumer trust in individual companies but also relates to the broader business context in which consumers may plan and carry out their financial behavior. This latter form of trust can be referred to as “broad‐scope” trust (BST). BST is especially important in a society context because lack of BST may reduce financial market dynamism, competition, and productivity. Consequently, financial service providers assume an important social responsibility in order to develop BST. Unfortunately, not much is known about the interplay between BST and consumer financial behavior. Based on two surveys comprising 1155 bank consumers and 756 mutual fund investors, respectively, this study investigates the moderating influence of BST on relations between knowledge, cognitive effort, and financial healthiness and also examines the direct influence of BST on cognitive effort and financial healthiness. The results indicate that BST negatively moderates relations between knowledge and financial healthiness and between cognitive effort and financial healthiness. In addition, it is demonstrated that BST negatively influences cognitive effort and positively influences financial healthiness. Our results demonstrate the importance of developing BST as it may ease the burdens put on consumers' financial knowledge and processing capabilities, which in turn may facilitate their financial well‐being. Copyright © 2016 John Wiley & Sons, Ltd.     

Cross-association analysis of EEG and EMG signals according to movement intention state

Rehabilitation within three months plays a significant role in the recovery of damaged motor functions following the onset of a stroke. To increase the effectiveness of rehabilitation, it is important to perform rehabilitative exercises with movement intention. This study analyzed the association between electroencephalogram (EEG) and electromyogram (EMG) signals in healthy individuals in an attempt to verify the differences between the two signals in corticomuscular connectivity as well as the time delay in the flow of information in accordance with the presence of movement intention. To examine the relationship between the brain and muscles, coherence and mutual information analyses were performed on the EEG signals in the motor cortex and EMG signals in the flexor digitorum superficialis muscle during grasping training. Coherence and mutual information between EEG and EMG signals were significantly higher and the time delay of information flow was shorter when subjects performed active exercise with movement intention than when they performed passive exercise without movement intention. These findings could be applied to the rehabilitation of stroke patients to develop a rehabilitative training system with heightened effectiveness through verification of the presence of movement intention in the patients.     

Dynamic simulation of flat water kayaking using a coupled biomechanical-smoothed particle hydrodynamics model

Kayak racing performance is known to be dependent on technique, strength and equipment, but the relationship between these factors and performance is not well understood. Complete experimental measures of stroke technique and the interactions between the water and the paddle and the boat are not practical in a racing environment. Instead, simulation using computational fluid dynamics can be used to study this system. A coupled biomechanical-Smoothed Particle Hydrodynamics (B-SPH) model of the kayaking athlete is presented. Verification and validation of the model are confirmed using drag force data from the literature and a spatial resolution study. Using this model and stroke kinematics (developed from the combination of literature data and digitised motion of an amateur level athlete from video), calculations are made of (a) the fluid response to interactions with the paddle and kayak; (b) speed of the kayak; and (c) magnitudes of force and impulse on the paddle and the hands. Key features of the fluid response are related to the loading on the athlete and the speed of the kayak. Perturbations to stroke technique are explored to give new insights into the relationships between technique and racing performance.     

Segment routing based energy aware routing for software defined data center

Despite the fact that most of the data centers are software-defined, the multifaceted network architecture and increase in network traffic make data centers to suffer from overhead. Multipath TCP supports multiple paths for a single routing session and ensures proper utilization of bandwidth over all available links. As rise in number of nodes in data center is frequent and drastic, scalability issue limits the performance of many existing techniques. Segment Routing is vibrant in reducing scalability disputes and routing overhead. Segment routing approach combined with MPTCP traffic result in efficient routing approach. The downfall of the link capacity due to drastic incoming traffic remains as a major concern in data center network which enforces preventing link energy depletion due to high network traffic. Our proposed work, segment routing based energy aware routing approach for software defined data center aims to achieve throughput maximization through preserving link residual capacity and proper utilization of links. As well, our approach shows a decrease in length of segment label stack with respect to maximum segment label depth. Analysis is done by comparing the executions of other existing approaches in a single-controller environment with our energy-aware routing approach in a distributed environment. Distributed controller setup prevents network from single point of failure. It helps to prevent controller overhead and provides improved network performance through throughput.     

Entrepreneurship education: relationship between education and entrepreneurial activity

The importance of entrepreneurial activity for the economic growth of countries is now well established. The relevant literature suggests important links between education, venture creation and entrepreneurial performance, as well as between entrepreneurial education and entrepreneurial activity. The primary purpose of this paper is to provide some insights about entrepreneurship education. The meaning of entrepreneurship education is explained, and the significant increase of these educational programmes is highlighted. Literature has been suggesting that the most suitable indicator to evaluate the results of entrepreneurship education is the rate of new business creation. However, some studies indicate that the results of such programmes are not immediate. Therefore, many researchers try to understand the precursors of venture creation, concluding that is necessary to carry out longitudinal studies. Based on an overview of the research published about the existing linkage of entrepreneurship education and entrepreneurial activity, the main topics studied by different academics are addressed. For the authors, the positive impact of entrepreneurship education puts a double challenge on governments in the future: the increased need of financial funds to support entrepreneurship education and the choice of the correct educational programme.     

Group mentoring to foster the responsible conduct of research

This article reports on a method of group mentoring to strengthen responsible research conduct. A key feature of this approach is joint exploration of the issues by trainees and their faculty research supervisors. These interactions not only help participants learn about current ethical norms for research practice, but also draw on the accumulated experience of faculty and staff about practical problems of research conduct, and help to make faculty more articulate about responsible research conduct and so better able to guide their trainees. By working with departments or laboratories as a whole the method facilitates the formulation of specific norms appropriate to particular research situations and to strengthen the group’s ability to support appropriate behavior and deal with new issues as they arise. It also gives students more ways to ask questions about research practice and to benefit from the experience of all members of their department or group as well as their own research supervisors. The method is well tested and has been well received by a wide variety of departments and research groups. It provides the means for a constructive and enjoyable response to the Public Health Service’s (PHS) new Policy on Instruction in the Responsible Conduct of Research (RCR) that requires education in the responsible conduct of research for all those funded by PHS funds, including faculty and staff as well as trainees. An earlier version of this paper was presented at a National Science Foundation sponsored conference on Mentoring and Research Values: Students as Vital Human Resources, Chicago, IL, USA, March 1995.     

Mediational effects of sensation seeking on the age and financial risk-taking relationship

The current study examined the potential mediating role of sensation seeking in the well-established negative relationship between age and financial risk-taking. A total of 299 participants, aged 17–90 years, allocated hypothetical money into mutual funds that varied in risk and completed a sensation seeking measure. Hierarchical multiple regressions revealed that the amount of variability age accounted for in risk-taking (4.1%; β = −.22) was significantly reduced when sensation seeking was controlled for (0.8%; β = −.12). A Sobel test revealed that sensation seeking fully mediated the aforementioned relationship. Results suggest sensation seeking’s role as a mediator in more physiologically arousing risk-taking contexts (e.g., surfing). Discussion recommends investigating potential biologically and cognitively-rooted mediators and moderators of the age and risk-taking relationship.     

Visualizing the temporal dynamics of spatial information processing responsible for the Simon effect and its amplification by inhibition of return

Research has shown that the Simon effect is larger for targets suffering from inhibition of return (IOR). We used speed–accuracy trade-off (SAT) methodology to explore the temporal dynamics underlying this interaction. In Experiment 1, a new method for sorting the data was used to reveal a monotonic decay in the impact of task-irrelevant location information that is responsible for the Simon effect. In Experiment 2, we show that IOR delays both task-relevant identity and task-irrelevant location codes; a relatively longer delay for location than identity codes accounts for the effect of IOR on the Simon effect. When location information was made task-relevant in Experiment 3, IOR delayed the accumulation of this information by about the same amount as when location was irrelevant. The results suggest that IOR, therefore, has a greater effect on location than identity information.     

When motor congruency modulates immediate memory for objects

In line with the embodied cognition view, some researchers have suggested that our capacity to retain information relies on the perceptual and motor systems used to interact with our environment (Barsalou, 1999; Glenberg, 1997). For instance, the language production architecture would be responsible for the retention of verbal materials such as a list of words (Acheson & MacDonald, 2009). However, evidence for the role of the motor system in object memory is still limited. In the present experiments, participants were asked to retain lists of objects in memory. During encoding, participants had to pantomime an action to grasp (Experiments 1A & 1B) or to use the objects (Experiment 2) that was either congruent or incongruent with the objects to be retained. The results showed that performing an incongruent action impaired memory performance compared to a congruent action. This suggests that motor affordances play a role during object retention. The results are discussed in light of the embodied cognition view.     

What drives tourists to adopt self-driving cars?

Autonomous vehicles are expected to shape mobility and tourism. This paper introduces an extension to the TAM to better understand the adoption of self-driving cars for tourism purposes. The new model (TAMAT) confirms some under-explored impacts of tourism-related variables, such as Openness to Tourism Usage and Unusual Surroundings, and the Adherence to Conventional Use on the Intention to Use self-driving cars. The research is based on online data collection (n = 646) and applies Covariance-Based Structural Equation Modelling. Findings indicate that the opportunity of using self-driving cars for tourism and unusual environments has a positive impact, while adherence to conventional car use has a negative impact on the intention to use self-driving cars.     

Evaluating Fund Performance by Compromise Programming with Linear‐Quadratic Composite Metric: An Actual Case on The CaixaBank in Spain

This paper proposes an additive measure on the basis of compromise programming to evaluate fund performance from multiple criteria, of which the most usual are profitability and risk. This proposal is motivated by the fact that compromise programming is a sound decision support model to obtain scores of alternatives by minimizing weighted distances to an ideal point, the weights reflecting the investor's preferences for the criteria. To define the distance objective function, the linear‐quadratic composite metric is used, which combines advantages of linear and non‐linear objective functions. A critical advantage of compromise programming for fund performance evaluation is that the model can be extended to more than two financial criteria while other measures currently used (either ratio‐based or leverage‐based measures) only consider two criteria, say, profitability and risk. In the application, three investor's profiles are defined, which involve different weighting systems and lead to different fund rankings. These rankings are compared with domination relationships, the latter formulating if a fund is dominated or non‐dominated by convex combinations of other funds. Numerical tables are provided with data, computational process and results, which are analysed. Copyright © 2012 John Wiley & Sons, Ltd.     

The effects of transcranial direct current stimulation (tDCS) on multitasking performance and oculometrics

Multitasking is the ability to perform more than one task simultaneously. The need to multitask is common in many industries especially within the military with tasks such as air traffic controllers, cyber defense operators and image analysts. However, as the time on task increases, information throughput can become overwhelming resulting in a performance decrement. Through task prioritizing, the operator is able to maintain performance on specific subtasks in which they selected as high importance while other subtasks experience a decrement. The objective of this study was to evaluate the effects of transcranial direct current stimulation (tDCS) applied to the left dorsolateral prefrontal cortex (ldLPFC) on information processing capabilities to improve individual and overall multitasking performance while performing the multi-attribute task battery (MATB). Two groups of 8 participants each received either 2 mA of anodal or sham tDCS while performing MATB. In addition, eye tracking was implemented to record eye movement patterns. In doing so, we were able to determine how much time the operator allocated to each of the subtasks within MATB and how their task priorities changed as workload demands increased. The findings provided evidence that 2 mA of anodal tDCS during MATB significantly improved overall information throughput compared to the sham group. With respect to the individual subtasks, communication and system monitoring displayed the greatest enhancement with anodal tDCS. Our data suggests that tDCS could be a useful tool to enhance information processing capabilities during a multitasking paradigm resulting in improved processing capabilities and information throughput.     

Monolingual and bilingual children's use of mutual exclusivity in the naming of whole objects

In two experiments, the use of mutual exclusivity in the naming of whole objects was examined in monolingual and bilingual 3- and 6-year-olds. Once an object has a known name, then via principles of mutual exclusivity it is often assumed that a new name given to the object must refer to some part, substance, or other property of the object. However, because bilingual children must suspend mutual exclusivity assumptions between languages, they may be more willing to accept two names for an object within a language. In the current research, the use of mutual exclusivity in the naming of whole objects was found across monolingual and bilingual children, although older bilingual children were significantly less inclined to use mutual exclusivity than were older monolingual children. These results are discussed in terms of differences in monolingual and bilingual children's word learning.     

Students' performance in accounting: differential effect of field dependence-independence as a learning style

This study examined the differential moderating effects associated with field dependence-independence and perceptions of stress on students' performance after controlling for SAT Mathematics and Verbal scores as well as students' actual effort on homework. The average performance of 178 third-year accounting majors over three examinations was used to evaluate their understanding of financial accounting. The students also took the Group Embedded Figures Test. While the data indicate that the most significant variables were students' effort, SAT Verbal scores, and their perceptions of stress, these variables were differentially associated with students' performance depending upon whether the student was classified as a field-independent or field-dependent learner.     

中国儒家传统金融伦理思想初探

本文试图探讨儒家的金融伦理思想。文章认为:儒家由人性自利的基础出发,强调金融合理的自然主义立场;由此进一步导出仁义为本的民本主义;智勇兼重的理性精神;礼让为先的合作精神等主要金融伦理原则。这些原则与诚信原则、互利互惠原则、节俭原则等一起构造了中国古代金融伦理体系。我们应该积极有效地从这些资源中吸取养料,在改造发展的原则下为建设适应社会主义市场经济制度的崭新的金融体系而努力。