Financial risk takers have low levels of Testosterone

[alfredo]

Looks like those who thinks it takes a lot of balls to do what they did, were wrong in some cases.

http://www.newscientist.com/article/mg20928044.300-low-testosterone-linked-with-financial-risktaking.html


CONJURE up an image of a financial risk-taker, and you'll probably picture an aggressive Wall Street trader, testosterone surging as he closes the deal. But new research suggests that people with low levels of the male sex hormone are also likely to take financial risks.

Previous studies have linked high levels of testosterone to certain risk-seeking behaviours. To investigate whether financial risk-taking follows a similar pattern, Scott Huettel at Duke University in Durham, North Carolina, measured the testosterone levels of 298 people, who then took part in trials in which they chose between a fixed known reward or a gamble between getting a payout - mostly larger than the fixed reward - or nothing

Overall, the volunteers generally preferred the known return than the gamble, even if they would have been better off, on average, by taking a chance. Surprisingly, the biggest risks were taken by people with very high or very low testosterone, compared with the average levels for their gender



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Love New Scientist.

http://www.newscientist.com/

[OHdem10]

1. You do not need lots of Testosterone to take risks with OTHER

PEOPLES MONEY.

[alfredo]

2. They are traitors because they are enriching themselves, no

matter the harm they cause the nation.

[BlueIris]

3. Interesting. nt

[Duer 157099]

4. "the biggest risks were taken by people with very HIGH OR very LOW testosterone"

Seems that the real story is that abnormal testosterone levels are associated with risk-taking.

[alfredo]

5. Yeah, that's what the headline should have said.

I like the thought of Wall St bankers having tiny balls.

[sofa king]

6. An evolutionary solution to crises, perhaps?

When things go to hell, the people in the middle are the ones who get screwed the worst and die the soonest, while the risk-takers who succeed come out the best. Risk-taking may always be on the fringes because it's always waiting for its opportunity--crisis--to come back around. And it always does.

[alfredo]

7. Immigrants are risk takers.

[sofa king]

8. Yes, I think you are onto something there.

Immigration and expansion to new territory seems to be part of some basic survival instinct. Consider, for example, how despite the astronomical expense we've already begun to experiment with keeping a permanent presence in Antarctica and in space, certainly the most hostile environments we've yet to attempt to live in. There is currently little direct benefit from doing so, yet people are lining up to do it--I know I'd do it in a minute, if I could.

It also occurs to me that low-testosterone risk-takers might be the ones who take a more rational approach to risk-taking, providing a nice balance to the hell-for-leather adventurers who arrive at a similar idea.

[alfredo]

10. But the high testosterone risk taker might be more physical in their risks.

I am thinking on the lines of the mind/body integration and decision making.

[AngryAmish]

9. Is the point that levels of certain hormones change how people think?

Specifically sex-related hormones.

In that case, how do birth control pills change how women think?

This question really has not been studied very much. What do you speculate how they have changed the minds of women who take them?

[alfredo]

11. I have lived with a women for 30 years. I can attest to

how she changes as hormone levels change. No doubt I go through changes too. When you are on the inside, it is hard to tell your own changes.

Men's testosterone changes according to the circumstances. Age and social status has some effect.