The Impact Of Decision Power On Financial Risk Tolerance And Asset Allocation

This research considers the impact of decision power (Blood & Wolfe, 1960) and demographic variables within a couple’s relationship on risk tolerance and portfolio risk levels. Married couples (N = 175) separately completed a survey consisting of the Blood and Wolfe Decision Power Index, the Survey of Consumer Finances risk tolerance question, demographic information, and selected financial variables. Unlike their husbands, the study found an effect of decision power for wives and portfolio risk level, suggesting that the wife’s decision power affects portfolio risk levels. Decision power was found to be a significant factor in risk tolerance for both the husband and wife. Findings indicate that both portfolio risk levels and risk tolerance is determined by the education of the wife and not the husband. Further, a divergence in risk levels occurred when the husband owned a greater degree of assets than the wife

Integration Of Professional Certification Examinations With The Financial Planning Curriculum: Increasing Efficiency, Motivation, And Professional Success

This article provides a theoretical-based rationale and plan of action for educational programs to encourage and create opportunities for the integration of course study with professional exam preparation, while highlighting the complementary benefits for students, academic programs, and the financial services profession. Serving primarily as a model for faculty associated with university-based financial planning education, this article also provides a foundation for future research in this area. In addition, the article presents descriptive information on select designations and licenses currently available that finance and financial planning students could pursue concurrently with coursework

Sex differences in semantic categorization

Sex differences in certain cognitive abilities, including aspects of semantic processing, are well established. However, there have been no reports investigating a sex difference in semantic categorization. A total of 55 men and 58 women each judged 25 exemplars of natural categories (e.g., fruits) and 25 of artifact categories (e.g., tools) as a nonmember, partial member, or full member of the given category. Participants also rated confidence for each judgment. Women provided a greater number of vague (partial member) judgments whereas men provided more inclusive (full member) judgments of artifacts but more exclusive (nonmember) judgments of natural categories. The sex difference in vagueness was observed across domains (Cohen’s d = .56). Confidence predicted categorization among both men and women, such that more confident participants exhibited fewer vague category judgments. However, men and women were equally confident in their category judgments, and confidence failed to explain the sex difference in categorization. Men and women appear to categorize the same common objects in systematically different ways