A1 Journal article (refereed)
Early health, risk aversion and stock market participation (2021)

Böckerman, P., Conlin, A., & Svento, R. (2021). Early health, risk aversion and stock market participation. Journal of Behavioral and Experimental Finance, 32, Article 100568. https://doi.org/10.1016/j.jbef.2021.100568

JYU authors or editors

Publication details

All authors or editors: Böckerman, Petri; Conlin, Andrew; Svento, Rauli

Journal or series: Journal of Behavioral and Experimental Finance

ISSN: 2214-6350

eISSN: 2214-6369

Publication year: 2021

Volume: 32

Article number: 100568

Publisher: Elsevier BV

Publication country: Netherlands

Publication language: English

DOI: https://doi.org/10.1016/j.jbef.2021.100568

Publication open access: Openly available

Publication channel open access: Partially open access channel

Publication is parallel published (JYX): https://jyx.jyu.fi/handle/123456789/78508


To examine the relationship between early health status and financial decisions in adulthood, we link information on birth weight in 1966 from the Northern Finland Birth Cohort to data from the Finnish Central Securities Depository over the period of 1995–2010. We find that persons predisposed to poor health status in early childhood (indicated by low birth weight) avoid participating in the stock market in adulthood, with a 10% increase in birth weight associated with a 1.9% increase in probability of participation. The link between birth weight and stock market participation is partially channeled by poor early health status being associated with higher risk aversion. Early health status is not significantly related to risk taking in terms of the stock portfolio’s composition.

Keywords: behavioural economics; birth weight; state of health; risk-taking; personal finance; investment in shares; cohort study

Free keywords: health status; birth weight; risk aversion; stock market participation

Contributing organizations

Related projects

Ministry reporting: Yes

Reporting Year: 2021

JUFO rating: 1

Last updated on 2022-20-09 at 14:29