Study On Relationship Of Managerial Overconfidence And Investment Behavior And Enterprise Performance

’Rational economic man’ hypothesis is the important hypothesis of traditional financial theory. But with the appearance of anomalies (herding effect, disposition effect, the equity premium), ’rational economic man’ hypothesis is being people’s question, and then behavioral finance theory come into the field of vision. As an important part of the behavioral finance theory, the theory of managerial overconfidence explain executive decision-making process from the manager’s own irrational factors. But the existing literature on managers irrational behavior and enterprise performance of related research is less. Empirical study indirectly derive managers irrational behavior impact on enterprise performance is also from managers irrational behavior and financial decision-making. This article is based on the modern housekeeper theory, behavioral finance theory and look investment behavior as indirect bridge, to explore the managers overconfidence influence on enterprise performance, reveal managers overconfidence, the influence mechanism of investment behavior and enterprise performance. In order to enrich managers overconfidence and researches on the influencing factors of enterprise performance, and also has theoretical and practical significance.Basic research framework of this article mainly includes five parts:the first is the introduction part of this article, includes the background and meaning of the topic and research methods and technology roadmap; The second part is the literature review part, mainly about relationship of managers overconfidence and investment behavior enterprise. Based on the disadvantage of current, we formulate the research direction. The third part is the theoretical foundation part, through the analysis of theory, to lay a good foundation for later empirical part; The fourth part is the empirical research part: based on the review of the literature in related fields, and make a theoretical analysis, we choose the listed companies of A share in Shanghai san Shenzhen for three years from the year 2010 to 2012,then we choose ROA to measure the enterprise performance, choose executive relatively payment index to measure the degree of overconfidence, establish regression model to research the relationship between managers overconfidence and investment behavior and enterprise performance; The sixth part is about the research conclusion and put forward suggestions for improvement, and pointed out the shortcomings in this paper.The empirical results show that the managers overconfidence degree and the enterprise investment spending has significantly positive correlation; And raising the level of investment spending would reduce enterprise performance; Asset-liability ratio increase will restrain investment spending levels created by overconfidence; managers overconfidence and enterprise performance, there is a "U" shaped relationship between managers overconfidence and enterprise performance: with the improvement of managers confidence, enterprise performance lowered after the first.