Who invests too much in employer stock, and why do they do it? Some evidence from uk stock ownership plans
Using data from a survey of employee stock-owners in seven UK companies, the author examines the determinants of excessive ownership of company stock in savings portfolios. The paper draws on the insights from the recent 401 (k) literature and examines the role of attitudes as well as demographic characteristics. By using a survey of employees it is possible to investigate the role of these factors more precisely than in much of the 401 (k) literature. The results indicate that loyalty and familiarity are important determinants of concentration in employer stock. Income is important too: the results imply that as savings rise with income, familiarity especially leads employees to channel much of this into employer stock.
|Date of creation:||Aug 2006|
|Contact details of provider:|| Postal: Sally Baldwin Buildings, Block A, Heslington, York, YO10 5DD|
Fax: +44 1904 434163
Web page: http://www.york.ac.uk/management/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:wrc:ymswp1:24. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (White Rose Research Online)or (The York Management School)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.