Framing of Returns vs. Stock Prices in Investor Perception: The Role of Presentation in Decision-Making
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2025-07-03
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en
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This thesis, building on Grosshans and Zeisberger (2018), explores how framing investment results as price changes or returns interacts with stock paths to influence investor perceptions and behavior. Grounded in behavioral finance and Prospect Theory, a mixed experimental design (framing between-subjects; paths within-subjects) was used with 163 participants. While framing had little effect on perceived risk, it significantly influenced satisfaction and trading intentions. Price framing led to higher satisfaction and a greater tendency to hold investments, especially in straight and rebound paths. Mediation analysis showed that perceived risk played a minor role, with return expectations and presentation format more strongly driving satisfaction. By integrating framing with path-dependent analysis, this study demonstrates that identical outcomes can produce different investor responses based solely on how they are presented. The findings offer practical insights for improving financial communication, digital advisory tools, and investor education.
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Faculteit der Managementwetenschappen