Table 5 Bayesian linear regression model...

Table 5

Bayesian linear regression model of overconfidence

Model comparison - I engage in investments that are SR
Models	P(M)	P(M\|data)	BF_M	BF₁₀	R²
beststocksinportfolio + tradebymyself	0.010	0.206	27.026	1.000	0.254
beststocksinportfolio	0.024	0.126	5.935	0.245	0.203
skills&expertiseininvesting	0.024	0.072	3.188	0.140	0.193
analyzenewinfoaptly + beststocksinportfolio + tradebymyself	0.007	0.047	6.864	0.304	0.258
skills&expertiseininvesting + tradebymyself	0.010	0.047	5.084	0.226	0.229
skills&expertiseininvesting + beststocksinportfolio + tradebymyself	0.007	0.038	5.485	0.245	0.254
beststocksinportfolio + tradebymyself + prioritytoownopinion	0.007	0.037	5.369	0.240	0.254
stockmktawareness + beststocksinportfolio + tradebymyself	0.007	0.037	5.346	0.239	0.254
stockmktawareness + skills&expertiseininvesting + analyzenewinfoaptly + beststocksinportfolio + tradebymyself + prioritytoownopinion	0.143	0.031	0.191	0.010	0.260
skills&expertiseininvesting + beststocksinportfolio	0.010	0.021	2.261	0.103	0.216

Model comparison - I engage in investments that are SR
Models	P(M)	P(M\|data)	BF_M	BF₁₀	R²
beststocksinportfolio + tradebymyself	0.010	0.206	27.026	1.000	0.254
beststocksinportfolio	0.024	0.126	5.935	0.245	0.203
skills&expertiseininvesting	0.024	0.072	3.188	0.140	0.193
analyzenewinfoaptly + beststocksinportfolio + tradebymyself	0.007	0.047	6.864	0.304	0.258
skills&expertiseininvesting + tradebymyself	0.010	0.047	5.084	0.226	0.229
skills&expertiseininvesting + beststocksinportfolio + tradebymyself	0.007	0.038	5.485	0.245	0.254
beststocksinportfolio + tradebymyself + prioritytoownopinion	0.007	0.037	5.369	0.240	0.254
stockmktawareness + beststocksinportfolio + tradebymyself	0.007	0.037	5.346	0.239	0.254
stockmktawareness + skills&expertiseininvesting + analyzenewinfoaptly + beststocksinportfolio + tradebymyself + prioritytoownopinion	0.143	0.031	0.191	0.010	0.260
skills&expertiseininvesting + beststocksinportfolio	0.010	0.021	2.261	0.103	0.216

Note(s): BFM (Bayesian Factor Model) quantifies the evidence favoring one model over another. P(M) is the probability of a specific model. P(M|data) is the probability of the model given the observed data. BF10 is the Bayes Factor supporting the alternative hypothesis over the null hypothesis. R² represents the coefficient of determination, indicating the proportion of variance in the dependent variable explained by the independent variables

Stockmktawareness: I am well aware of everything that happens in the stock market

skills&expertiseininvesting: I have the required skills and expertise needed for making investment decisions in the stock market

analyznewinfoaptly: I can analyze the new information in the market aptly

Beststocksinportfolio: My portfolio contains the best stocks

Tradebymyself: I trade by myself

Prioritytoownopinion: While making an investment decision, I give priority to my opinion regarding the decision above all the other factors

Source(s): Table by authors

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