Self-assembled InAs/ GaAs quantum dots ͑QDs͒ are studied by means of circular polarization-resolved photoluminescence and pump-probe differential reflectivity as a function of the excitation density using a linear polarized pump laser. We observe an unexpected large circular polarization anisotropy, which decreases with increasing excitation density for both experimental techniques. Comparison of the respective polarization degrees reveals a ratio of approximately 0.2. Moreover, the reflection measurements reveal circular dichroism with a ratio of ⌰ + / ⌰ − = 1.16. Circular dichroism in semiconductor QDs can be explained by the induced magnetism as a result of light confinement in QDs, providing an anisotropic coupling between the pumpinduced QD exciton and the circularly polarized probe field.