We study how social pressures experienced by individuals approaching milestone ages (e.g., age 30, 40, and 50) affect their risk-taking behavior in stock markets. Using account-level data from a large brokerage in China, we find that individual investors exhibit increased riskseeking tendencies when approaching their milestone age birthdays. This effect is particularly pronounced for individuals with less financial wealth and investment experience, males, and those from regions with stronger Confucian clan culture, consistent with our social pressure interpretation. More importantly, trades executed by individuals approaching milestone birthdays tend to underperform, underscoring a negative impact of social pressure on financial well-being.

zlynne@ceibs.edu