Title

What Role Does Financial Risk Tolerance Play in Mediating Investing Behavior?

Document Type

Article

Publication Date

9-2016

Abstract

The present study offers an alternative explanation for the so-called gender and marital (cohabitation) status asset gap. The working hypothesis was that risk tolerance might have a mediation effect on investment behavior. Results show that financial risk tolerance significantly mediated the effects of gender on investment behavior. Similarly, risk tolerance played a small yet significant mediating role between cohabitation status and investment behavior. It is possible that what appears to be a gender or cohabitation status asset gap may be more closely related to differences in financial risk tolerance, regardless of gender or cohabitation status.

Publication Title

Journal of Financial Service Professionals

Volume

70

Issue

5

First Page

42

Last Page

52

Publisher

Society of Financial Service Professionals

COinS