16 Pages Posted: 23 Mar 2006
Date Written: February 2, 2006
Over 300 professional fund managers have taken a test to measure the scale of behavioural biases. This paper presents the results. Amongst other finds we show fund managers seem to suffer from over-optimism, representativeness, framing and anchoring. We also use Fredericks Cognitive Reflection Task to show that the degree of susceptibility to biased behaviour is captured by the CRT.
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