Colorado College Logo

  DigitalCC

Use AND (in capitals) to search multiple keywords.
Example: harmonica AND cobos

Demographic and Socioeconomic Factors That Affect an Individual’s Financial Risk Tolerance

by Seu, Risa

Abstract

I use the 2016 Survey of Consumer Finance (SCF) from the Federal Reserve and examine the impact of demographic and socioeconomic variables on people’s financial risk willingness, as well as percentage of stocks, bonds, and mutual funds. I compare the results of these regressions to infer what variables allow people to be more risk tolerant. The results show that being Black/Hispanic and having financial dependents decreases people’s financial risk tolerance. On the other hand, people in the categories never married, greater income, higher education, positive outlook of the economy for the next five years, and work in the finance industry have greater risk tolerance than their counterparts.

Note

The author has given permission for this work to be deposited in the Digital Archive of Colorado College.

Colorado College Honor Code upheld.

Includes bibliographical references.

Administrative Notes

The author has given permission for this work to be deposited in the Digital Archive of Colorado College.

Colorado College Honor Code upheld.

Copyright
Copyright restrictions apply.
Publisher
Colorado College Tutt Library
PID
coccc:30815
Digital Origin
born digital
Extent
39 pages
Thesis
Senior Thesis -- Colorado College
Thesis Advisor
Sandeep Sharma
Department/Program
Economics and Business
Degree Name
Bachelor of Arts
Degree Type
bachelor
Degree Grantor
Colorado College Tutt Library
Date Issued
2019-05