| Investors's behavioral characteristics has been widly discussed by theorists of finance. Among the literatures about this, because of its utility function can be described more accurately about the preferences of investors, and it includes the parameters of the reaction of investors to the quantitative characteristics and is widely used.As for investors behavioral characteristics of the main tools, utility function also acts as investors theoretical study of the evolving development. This study is also on how to describe the behavior characteristics of Chinese investors. In the utility function this study using the PRA (Power Risk Aversion) utility function as an analysis tool. On the basis of the introduction of this more general utility function, we collected the relevant empirical data and made some analysis about the characteristics of our investors. Chinese investors in the acquisition parameters of the premise, and in order to do with a horizontal comparison, in order to further test whether the PRA utility function more accurate description and explanation of the behavior characteristics of investors. This paper has been selected the United States as compared with the same method estimated that the United States acts investors parameters obtained by comparing the two countries after investors behavioral characteristics of the similarities and differences.This study's framework is as follows: Chapter 1 is Introduction, the second Chapter is PRA utility function, and Chapter 3 is the estimation of Chinese investors'behavioral parameters, Chapter 4 is the analysis of behavioral characteristics. The last is Conclusion.This paper drew the following two conclusions: first, through the PRA utility function and power utility function of the way these various characteristics of Chinese investors estimates and analysis, PRA utility function that can be more accurate description of the behavior characteristics of investors, the conclusions drawn by the Chinese market more in line with the reality of the situation. And with the power utility function compared PRA utility function but also a more accurate description of investor behavior characteristics. Secondly, the Sino-US investors by the time preference rate and the coefficient of relative risk aversion of the United States found that the two States investors are current consumer preferences, as well as risk aversion, but China investor risk aversion to the United States is much higher. |
