TY - JOUR
T1 - Market Volatility and Financial Satisfaction
T2 - The Role of Financial Self-Efficacy
AU - Asebedo, Sarah
AU - Payne, Patrick
N1 - Publisher Copyright:
© 2018, © 2018 The Institute of Behavioral Finance.
PY - 2019/1/2
Y1 - 2019/1/2
N2 - This study investigates the role of financial self-efficacy (FSE) in moderating the relationship between market volatility and financial satisfaction within a sample of 3,405 adults 50 years old and over from the Health and Retirement Study. Results revealed that market volatility had no statistically significant effect with financial satisfaction for those with moderate or high FSE, but market volatility did have a negative effect for those with low FSE. Results suggest that FSE is an important predictor of financial satisfaction amidst market volatility and should be considered when establishing an appropriate asset allocation for client portfolios.
AB - This study investigates the role of financial self-efficacy (FSE) in moderating the relationship between market volatility and financial satisfaction within a sample of 3,405 adults 50 years old and over from the Health and Retirement Study. Results revealed that market volatility had no statistically significant effect with financial satisfaction for those with moderate or high FSE, but market volatility did have a negative effect for those with low FSE. Results suggest that FSE is an important predictor of financial satisfaction amidst market volatility and should be considered when establishing an appropriate asset allocation for client portfolios.
KW - Financial satisfaction
KW - Financial self-efficacy
KW - Market volatility
KW - Risk tolerance
KW - Social cognitive theory of self-regulation
UR - http://www.scopus.com/inward/record.url?scp=85044326150&partnerID=8YFLogxK
U2 - 10.1080/15427560.2018.1434655
DO - 10.1080/15427560.2018.1434655
M3 - Article
AN - SCOPUS:85044326150
VL - 20
SP - 42
EP - 52
JO - Journal of Behavioral Finance
JF - Journal of Behavioral Finance
SN - 1542-7560
IS - 1
ER -