University of Oulu

Petri Böckerman, Andrew Conlin, Rauli Svento, Early health, risk aversion and stock market participation, Journal of Behavioral and Experimental Finance, Volume 32, 2021, 100568, ISSN 2214-6350,

Early health, risk aversion and stock market participation

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Author: Böckerman, Petri1; Conlin, Andrew2; Svento, Rauli2
Organizations: 1Jyväskylä University School of Business and Economics (JSBE), Labour Institute for Economic Research and IZA, Finland
2Department of Accounting, Economics and Finance, Oulu Business School, Pentti Kaiteran katu 1, 90570, Oulu, Finland
Format: article
Version: published version
Access: open
Online Access: PDF Full Text (PDF, 0.4 MB)
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Language: English
Published: Elsevier, 2021
Publish Date: 2022-02-01


To examine the relationship between early health status and financial decisions in adulthood, we link information on birth weight in 1966 from the Northern Finland Birth Cohort to data from the Finnish Central Securities Depository over the period of 1995–2010. We find that persons predisposed to poor health status in early childhood (indicated by low birth weight) avoid participating in the stock market in adulthood, with a 10% increase in birth weight associated with a 1.9% increase in probability of participation. The link between birth weight and stock market participation is partially channeled by poor early health status being associated with higher risk aversion. Early health status is not significantly related to risk taking in terms of the stock portfolio’s composition.

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Series: Journal of behavioral and experimental finance
ISSN: 2214-6350
ISSN-E: 2214-6369
ISSN-L: 2214-6350
Volume: 32
Article number: 100568
DOI: 10.1016/j.jbef.2021.100568
Type of Publication: A1 Journal article – refereed
Field of Science: 511 Economics
Funding: NFBC1966 received financial support from University of Oulu, Finland Grant no. 65354, Oulu University Hospital, Finland Grant no. 2/97, 8/97, Ministry of Health and Social Affairs Grant no. 23/251/97, 160/97, 190/97, National Institute for Health and Welfare, Helsinki, Finland Grant no. 54121, Regional Institute of Occupational Health, Oulu, Finland Grant no. 50621, 54231. NFBC1966 received financial support from University of Oulu, Finland Grant no. 24000692, Oulu University Hospital, Finland Grant no. 24301140, ERDF European Regional Development Fund Grant no. 539/2010 A31592. Böckerman thanks the Strategic Research Council funding for the project Work, Inequality and Public Policy (293120). Conlin thanks the OP Group Research Foundation for generous funding.
Dataset Reference: Supplementary material related to this article can be found online at
Copyright information: © 2021 The Author(s). Published by Elsevier B.V. This is an open access article under the CC BY license (