Financial Markets and Portfolio Management

, Volume 30, Issue 3, pp 233–275 | Cite as

Is there Swissness in investment decision behavior and investment competence?

  • Kremena Bachmann
  • Thorsten HensEmail author


Based on a large international survey, we analyze how German-, French-, and Italian-speaking residents of Switzerland differ in their investment decision behavior and investment competence compared to their closest neighbors abroad who speak the same language. Although language may be closer to the individual self than country of residence, we find that there are greater similarities in the decision behavior of residents of Switzerland speaking different languages than there are between these and their linguistically closest neighbors abroad. These similarities hold also for the ability to avoid investment mistakes, which is stronger in all Swiss regions compared to the linguistically closest regions abroad. The Swissness in investment competence is more likely to be emotionally than knowledge driven and is associated with regional differences in the relationships with investment advisors.


Behavioral finance Investment mistakes Cultural finance 

JEL Classification

D19 Z10 


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Copyright information

© Swiss Society for Financial Market Research 2016

Authors and Affiliations

  1. 1.Department of Banking and FinanceUniversity of ZurichZurichSwitzerland
  2. 2.Norwegian School of Economics and Business AdministrationBergenNorway

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