If the high earners are the high risk takers, the study should also consider the high risk takers who went broke and therefore are not traders anymore. Still, it is interesting that behaviors differ so much.
Ah yes, I was thinking this morning that the article's interpretation of the study results was leaving out this selection effect.
The study, by itself, doesn't tell us whether hiring low digit ratio traders would be more profitable for a firm, or even if the average lifetime earnings of someone entering the trading profession would be higher for someone with a low digit ratio.
Exactly. This articles implies if I take steriods, my T levels increase, making me a better trader. I think more likely it just would make me a bigger maniac therefore taking bigger gambles, when I win it will be bigger, but also my chances of blowing up are bigger (and not counted in the study)
This articles implies if I take steriods, my T levels increase, making me a better trader.
No, it doesn't. The factor it cites is testosterone sensitivity:
Previous research has found that the digit ratio reflects how much testosterone an unborn baby was exposed to in the womb. Those exposed to high levels of the hormone are more sensitive as adults to testosterone
