The Influencing Factors and Effectiveness of Family Investment Portfolio

DOI

10.2991/aebmr.k.220307.313How to use a DOI?

Keywords

household finance; financial knowledge; portfolio effectiveness; Sharpe rate

Abstract

In recent years, research on household financial behaviors such as household financial market participation and household asset selection became an important research field. This paper uses the 2013 data of the Chinese Household Finance Survey, using OLS and the ordered Probit model to study the impact of financial knowledge on the diversity of household investment portfolios. It is found that the level of financial knowledge has a significant positive impact on the diversity of household risk asset allocation. The higher the level of financial knowledge, the more inclined to invest in more types of financial products. Further research found that the level of financial knowledge also has a significant impact on the diversity of household stock portfolios. The effectiveness of the household investment portfolio affects the property income, wealth accumulation and social wealth distribution of the household, and will further affect the consumption level of the household. This article introduces the Sharpe rate as a measure of the degree of portfolio optimization and the method of using the Heckman two-step revision model to study the group differences in the effectiveness of household portfolios.

Copyright

© 2022 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Ziwei Jia
PY  - 2022
DA  - 2022/03/26
TI  - The Influencing Factors and Effectiveness of Family Investment Portfolio
BT  - Proceedings of the 2022 7th International Conference on Financial Innovation and Economic Development (ICFIED 2022)
PB  - Atlantis Press
SP  - 1905
EP  - 1908
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220307.313
DO  - 10.2991/aebmr.k.220307.313
ID  - Jia2022
ER  -