Event

Time Out for Trading

  • Wed 4 Jun 25

    13:00 - 14:30

  • Online

    Zoom (email for link)

  • Event speaker

    Professor Kasper Meisner Nielsen

  • Event type

    Lectures, talks and seminars

  • Event organiser

    Essex Finance Centre

  • Contact details

    Dr Anna Sarkisyan

The Essex Finance Centre (EFiC) warmly invites you to join the research seminar with Professor Kasper Meisner Nielsen from Copenhagen Business School.

We examine how time frictions impact stock market participation and portfolio rebalancing. Exploiting the mandated self-isolation of close contacts during the pandemic as an exogenous shock to time constraints, we find that relaxing these constraints increases trading propensities by 20% with stronger effects on young individuals. This heightened activity is not driven by recreational trading.

Trading propensities remain elevated well beyond the quarantine period, resulting in a 3.8% higher probability of stock market participation one year on. However, the increase in active trading is associated with lower returns, particularly in individual stocks. Overall, we provide causal evidence that time frictions significantly influence individual portfolio decisions.

Speaker

Kasper Meisner Nielsen is Professor of Finance at Copenhagen Business School, Academic Director at the Center for Corporate Governance at CBS, Adjunct Professor of Finance at Hong Kong University of Science and Technology (HKUST) and Fellow at the Asian Bureau of Finance and Economic Research. He received his Bachelor of Science, Master of Science, and Ph.D. degrees in Economics from the University of Copenhagen. Professor Nielsen has previously taught at Chinese University of Hong Kong, HKUST, Stern School of Business at New York University, Skolkovo Business School in Moscow, and Victoria University in New Zealand. From 2015 to 2018 he was the Academic Director of the HKUST-NYU Master of Global Finance program. Collectively, he has given lectures and research-based talks at more than 200 institutions in around 40 countries.

Professor Nielsen’s research interests are behavioral finance, corporate governance, family business, and household finance. His research has featured in international newspapers and magazines including Business Week, Financial Times, Harvard Business Review, International Herald Tribune, The Economist, The Times of India, and Wall Street Journal. He has studied the consequence of family succession on firm performance, the value of independent directors, why individuals shy away from stocks, the effect of personal exposure to the global financial crisis on risk taking, and households’ decisions to refinance their mortgage. His work has been published in academic journals including American Economic Review, The Quarterly Journal of Economics, Journal of Finance, Journal of Financial Economics, Review of Financial Studies, Management Science, and Review of Finance. His research has been awarded with external financing from competitive research grants on several occasions.

On his area of expertise Professor Nielsen has served as an external advisor, consultant, and lecturer to government agencies and companies in China, Denmark and Hong Kong.