Narcissism and stock market investing: Correlates and consequences of cocksure investing

Narcissists are more likely to make high-risk investments and will less hesitantly attempt to maximize short-term profits at the cost of long-term losses.

“They are more likely to make high-risk investments (Foster, Reidy, Misra, & Goff, 2011) and will less hesitantly attempt to maximize short-term profits at the cost of long-term losses (Campbell, Bush, Brunell, & Shelton, 2005).”

Individuals high on measures of normal narcissism make risky and maladaptive decisions owing in part to an excessively active reward-oriented system and overconfidence in their own knowledge and abilities.

“Individuals with high scores on these measures of narcissism make risky and maladaptive decisions (e.g., Foster et al. 2011, Miller et al. 2009a) owing, in part, to an excessively active reward-oriented system (e.g., Foster & Trimm 2008) as well as an overconfidence in their own knowledge and abilities (e.g., Campbell et al. 2004).”