Maslowian Portfolio Theory: An alternative formulation of the Behavioural Portfolio Theory

This paper aims to offer an alternative formulation of the Behavioural Portfolio Theory as formulated by Hersh Shefrin and Meir Statman (2000) via the Theory of Needs from Abraham Maslow (1943). This alternative formulation, called Maslowian Portfolio Theory (MaPT), yields the same results but adds...

Full description

Saved in:
Bibliographic Details
Published inJournal of asset management Vol. 9; no. 6; pp. 359 - 365
Main Author De Brouwer, Philippe J S
Format Journal Article
LanguageEnglish
Published London Palgrave Macmillan UK 01.02.2009
Palgrave Macmillan
Subjects
Behavior
Bond portfolios
Economics and Finance
Expected utility
Finance
Financial Services
Investment advisors
Investments
Invited Editorial
Physiology
Portfolio management
Risk Management
Self-actualization
Stock exchanges
Strategic management
Studies
behavioural portfolio theory
investor's risk profile
Maslowian portfolio theory
hierarchy of needs
portfolio selection
strategic asset allocation
Online AccessGet full text

Cover

More Information
Summary:This paper aims to offer an alternative formulation of the Behavioural Portfolio Theory as formulated by Hersh Shefrin and Meir Statman (2000) via the Theory of Needs from Abraham Maslow (1943). This alternative formulation, called Maslowian Portfolio Theory (MaPT), yields the same results but adds some interesting insight and practical applications for the financial advisor. MaPT starts from the needs of the investor and therefore can have the ambition to be a predictive theory rather than a descriptive theory. This paper also tries to fit portfolio selection theories with the needs of the investor, and to give very applicable advice.
ISSN:1470-8272
1479-179X
DOI:10.1057/jam.2008.35