Ocorrerá no dia 04/09/2024, quarta-feira, às 14h na sala 401A – FCE, o Seminário de Pesquisa “Distracted by Crypto” na área de Economia Aplicada, ministrado pelo Prof. Dr. Jéfferson Colombo (FGV EESP).
Abstract: How have retail equity investors responded to the surge in cryptocurrencies? Analyzing detailed data on all Brazilian investors from 2012 to 2018, we find that retail equity trading decreases during periods when cryptocurrencies are attention-grabbing. The economic impact ranges from 5.1% to 7.9%, and is more pronounced among younger investors and those in blockchain-related professions. Net trading flow analysis reveals no significant inflows or outflows, supporting a distraction-based interpretation. Validation with U.S. retail trading data confirms these results. As cryptocurrencies become mainstream from 2019 to 2022, we observe a diminishing distraction effect, consistent with individuals perceiving them as a conventional asset.
Authors: Matheus Brito, Fernando Chague and Jéfferson Colombo.