Reaserch On Preference Of Active Or Passive Choice In Financial Risk Decision

With the perfection of China's financial market,more and more financial products come into People's daily life.Ordinary investors already have quite knowledge of finance and investment.For investors,when facing financial risks,there are two most common modes of decision-making:active choice and passive choice.In the existing research,most existing research tacitly approves one special mode of choice or chooses the maximization of efficiency and profit as research direction.In the financial sector,most studies are mostly focusing on the merits or mistakes of the two kinds of model choice but few studies have focused on the investor of the two kinds of patterns of preference.In this article,through questionnaire survey,phase behavior experiment,EEG experiment research on the common preference of active choice and passive choice in financial risk decisions,to solve the following three questions:First,when facing problems about the financial risk decision making,will people prefer active or passive choice mode?Second,how does personality trait effect peoples' risk decision-making behavior and the preference of choice modes?Third,we must make researches about the different neural mechanisms when proceeding active choice and passive choice.The results show that:First,the investors preferring active choice accounting for the vast majority of all investors.Second,the personality trait sensation seeking has a significant impact on the individual's preference of choice modes and decision-making behavior under the situation of active choice.Second,compared with low sensation seeking subjects,subjects of high sensation seeking more prefer active choice mode,the decision-making behavior in active choice mode is more adventurous too.Third,the brain produce significantly different EEG signals when the subjects make decisions in different choice modes respectively in risk decision-making tasks.This difference is mainly manifested in two kinds of EEG components P300 and FRN.This study helped researchers understand the reason why people at risk are more inclined to take active choice,and expounded its action mechanism,which is of significant theoretical contributions.Moreover,it provided a theoretical reference for practical financial product design of financial institutions,that is,placing more emphasis on investors'active choice mode and pay close attention to their personality traits.Finally,we can get some conclusions through the method of cognitive neuroscience on different decision-making mechanism in different choice modes from the aspects of neuroscience.Which has a strong practical guiding significance for financial institutions and financial products design,and has a strong theoretical significance in the field of risk decision research.