Aversion to Ambiguity?

CFA Level III Portfolio Management
#1

Hi All,

Was going through the 2011 CFAI Morning Mock.

Question 1-B has one of those matching problems where the item set asks the reader to match the behavioral bias to the list of potential examples.

One of the behavioral biases listed was labeled " Aversion to Ambiguity"

I can not find this term anywhere in the 2017 text. Anyone have any insights, maybe just old material now longer in the program?

Thanks.

#2

Yeah I ran across it too. I do not believe that it’s in the 2017 curriculum, although I might be wrong. But I figured aversion to ambiguity is essentially a preference for certainty, so I didn’t find it difficult to get that one right :stuck_out_tongue:

#3

It was from an exam back in 2011…

https://www.analystforum.com/forums/cfa-forums/cfa-level-iii-forum/91269663

but here is some more information

#4

It’s something between conservativism bias and anchoring bias. There is no such bias in CFAI 2017 material.