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COVID-19 and US females’ portfolio decisions

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  • Apergis, Nicholas

Abstract

This paper uses a panel survey (micro-level) dataset to explore the impact of the COVID-19 pandemic crisis on females’ portfolio decisions. Using 150,000 US annual female portfolio choice observations from the Census Bureau database over the period 2001–2021, as well as Difference-in-Difference (DiD) methodologies, the analysis documents that female investors significantly reduce their market investments in risky assets during the pandemic period. The findings survive certain robustness checks, while they clearly illustrate the rising effect of the pandemic uncertainty on such portfolio decisions. The results carry substantial implications by suggesting that the pandemic acts as a negative externality in the risky asset type of portfolio choices and has high significance for portfolio managers, as well as for regulators and policymakers.

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  • Apergis, Nicholas, 2024. "COVID-19 and US females’ portfolio decisions," International Review of Economics & Finance, Elsevier, vol. 95(C).
    • Handle: RePEc:eee:reveco:v:95:y:2024:i:c:s1059056024004830
    DOI: 10.1016/j.iref.2024.103491
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    More about this item

    Keywords

    Pandemic crisis; Females portfolio choice; US investors; Difference-in-difference method;
    All these keywords.

    JEL classification:

    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance
    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models

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