- CFA Exams
- CFA Level I Exam
- Topic 9. Portfolio Management
- Learning Module 5. The Behavioral Biases of Individuals
- Subject 3. Emotional Biases
CFA Practice Question
The diagnostic question used to test for the presence of ____ bias is: How would you describe your emotional attachment to possessions or investment holdings? A. status quo
B. endowment
C. regret-aversion
Correct Answer: B
Endowment bias is an emotional bias in which people value an asset more when they own it than when they do not.
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