Is an investor stolen their profits by mimic investors? investigated by an agent-based model

Abstract

Some investors say increasing investors with the same strategy decreasing their profits per an investor. On the other hand, some investors using technical analysis used to use same strategy and parameters with other investors, and say that it is better. Those argues are conflicted each other because one argues using with same strategy decreases profits but another argues it increase profits. However, those arguments have not been investigated yet. In this study, we added the model increasing fundamental or technical agents with exactly same parameters to the previous agent-based mode. We found that in the case with increasing fundamental agents, decreasing variation of market prices and their profits. In the case with increasing technical agents, increasing variation of market prices and their profits.