From anticipated regret to experienced regret: Evidence from a stock market simulation
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This study examines the determinants of post-simulation regret in a stock market exercise involving 133 second-year undergraduate management students. Using data from a four-hour trading simulation, it relates post-simulation regret to anticipated regret, portfolio return, trading-style indicators and personality traits. Five regression models are estimated with a common specification, each including a different proxy for trading style. The results show that anticipated regret is positively associated with post-simulation regret, while portfolio return is negatively related to regret and is significant or marginally significant across models. Conscientiousness also emerges as a significant positive predictor. By contrast, none of the trading-style proxies reaches standard significance levels. The findings suggest that regret in simulated trading is explained more by prior regret disposition, portfolio performance, and personality than by trading style.