Stochastic Dominance and Index Fund Investment Decision

DOI

10.2991/iceess-18.2018.15How to use a DOI?

Keywords

index fund, stochastic dominance, investment tool selection

Abstract

The concept of stochastic dominance provides a more general evaluation criterion for expected utility under uncertainty. This paper discusses the investment choice of index funds in light of the concept of stochastic dominance. It is found that small and medium-sized board index funds provide greater expected utility for greedy investors. As for risk-averse investors, small and medium-sized board index funds are less risky and therefore appear to be better choice. In general, stochastic dominance has great application potential in the areas of evaluation, selection, R&D and marketing for funds.

Copyright

© 2018, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Kai Shi
AU  - Tianfeng Qi
PY  - 2018/10
DA  - 2018/10
TI  - Stochastic Dominance and Index Fund Investment Decision
BT  - Proceedings of the 2018 International Conference on Education, Economics and Social Science (ICEESS 2018)
PB  - Atlantis Press
SP  - 62
EP  - 65
SN  - 2352-5398
UR  - https://doi.org/10.2991/iceess-18.2018.15
DO  - 10.2991/iceess-18.2018.15
ID  - Shi2018/10
ER  -