A type of market risk that is closely related to the investment methods and decisions of noise traders. There is a much greater noise trader risk if there is more volatility in the market price for a specific security. Although this risk is found in all types of securities, it appears to be more prevalent in small cap stocks.
Related information about noise trader risk:
- Noise Trader Risk Definition | Investopedia
A form of market risk associated with the investment decisions of noise traders. The higher the volatility in market price for a particular security, the greater the ...
- Noise trader - Wikipedia, the free encyclopedia
DeLong, Bradford J.; Shleifer, Andrei;Summers, Larry; Waldmann, Robert J. ( 1990). "Noise Trader Risk in Financial Markets". The Journal of Political Economy ...
- Noise Trader Risk in Financial Markets - Harvard University
Noise Trader Risk in Financial Markets. J. Bradford De Long. Harvard University and National Bureau of Economic Research. Andrei Shleifer. University of ...
- Noise Trader Risk - Financial Dictionary - The Free Dictionary
The risk of a loss on an investment that comes from a noise trader. A noise trader is an investor who makes decisions based on feelings such as fear or greed, ...
- IS NOISE TRADER RISK PRICED? - The University of Texas at Austin
exposure to noise trader risk than do the underlying fund assets. Specifically, closed- ... fund expenses; that is, there is no evidence noise trader risk is priced.
- Noise-trader Risk - Economics - Vassar College
Sep 12, 2005 ... Noise-trader Risk: Does it Deter Arbitrage, and Is it. Priced? ... These behaviors suggest that non-diversifiable noise-trader risk increases the ...
- What is noise trader risk? definition and meaning
Definition of noise trader risk: A type of market risk that is closely related to the investment methods and decisions of noise traders. There is a much greater noise ...
- Noise Trader Risk in Financial Markets
Downloadable (with restrictions)! The authors present a simple overlapping generations model of an asset market in which irrational noise traders with ...