When Relying on Your Attitudes Leads to Poorer Quality Decision-Making Behavior

Over time, the number of mutual funds offered for investment in defined contribution plans, such as 401k's, has been rising.  What are the effects of the increased number of funds on consumer attitudes and their decision behavior?  In two experiments, we show that choosing from larger fund assortments in 401k plans increases liking of the plan but makes the decision harder, decreases asset allocation, and reduces decision quality.  We find that decision maximizers (versus satisficers) are particularly susceptible to the negative effects of larger fund assortments.  We also investigate ways to mitigate some of these negative assortment effects, such as by altering the plan structure to include decision flexibility or decision defaults.

Date : Mardi le 23 novembre à 15h.

Lieu : La Salle Dutailier International (1er étage, section verte), HEC Montréal, 3000 Côte Ste Catherine.

Page personnelle :

http://camden-sbc.rutgers.edu/FacultyStaff/Directory/morrin.htm

Pour vous inscrire, veuillez écrire à omerdeserres@hec.ca.

Pour toutes questions ou commentaires, vous pouvez écrire à omerdeserres@hec.ca.