Investor’s Anticipation and Future Market Movement: Evidence of Self-Fulfilling Prophecy Effect from Chinese Stock Market

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2018-01-03

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We analyzed data collected from retail investors in Chinese stock market from a fin-tech mobile platform to find evidence of self-fulfilling prophecy effect. We found statistically significant correlation between the predicted and actual Shanghai Stock Exchange Composite Index (SSECI) as well as non-random deviation patterns. We also analyzed participating investor behaviors and discussed the implications and future research.

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Crowd-based Platforms, behavioral finance, crowdsourcing, irrational behavior, self-fulfilling prophecy, stock market

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6 pages

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Proceedings of the 51st Hawaii International Conference on System Sciences

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Attribution-NonCommercial-NoDerivatives 4.0 International

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