Pengaruh Framing Effect dan Adverse Selection Dalam Pengambilan Keputusan Investasi (Studi Eksperimental)

Mapping Intimacies ◽

10.31219/osf.io/cau76 ◽

2021 ◽

Author(s):

Rian Abrori

Keyword(s):

Decision Making ◽

Adverse Selection ◽

Financial Management ◽

Investment Decision ◽

Framing Effect ◽

Accounting Students ◽

Investment Theory ◽

Investment Decision Making ◽

Independent Variable ◽

The University

This study aims to provide empirical evidence about whether there are differences in investment decision making on subjects who get negative framing with adverse selection and no adverse selection. and whether there are differences in investment decision making on subjects who get positive framing with adverse selection and no adverse selection. the dependent variable in this study is investment decisions and the independent variable used is the framing effect and adverse selection.This research is an experimental study with participants of the university accounting students Trunojoyo Madura, the population taken is 100 accounting students who are pursuing investment theory courses and have taken financial management courses, out of which 100 participants have 64 qualified researchers. Data analysis used descriptive statistics and different tests with Mann Whitney.The results of this study indicate that there is no difference in investment decision making on subjects who get negative framing with adverse selection and no adverse selection. and there was no difference in investment decision making on subjects who received positive framing with adverse selection and no adverse selection.

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Pengaruh Adverse Selection Dan Negative Framing Terhadap Eskalasi Komitmen Dalam Pengambilan Keputusan Investasi

Jurnal Manajemen dan Organisasi ◽

10.29244/jmo.v10i3.30153 ◽

2020 ◽

Vol 10 (3) ◽

pp. 197-206

Author(s):

Siti Zakiyah Hayati Nasution ◽

Rindah Febriana Suryawati

Keyword(s):

Adverse Selection ◽

Financial Management ◽

Investment Decision ◽

Project Manager ◽

Escalation Of Commitment ◽

Random Assignment ◽

Anova Analysis ◽

Analysis Techniques ◽

Investment Decision Making ◽

Management Students

Escalation of commitment behavior in investment decision making is an ineffective action by persisting on a project that indicates failure. This study aims to examine whether or not an adverse selection and negative framing effect on the tendency of escalation of commitment. This experimental research uses a 2 x 2 factorial design with an instruments of "PT Kue Hebat" case. Participants were Bachelor Degree of Management students who enrolled in Financial Management subject, as substitute for managers whom are chosen by random assignment technique as much as 50 participants. This study uses two ways ANOVA analysis techniques. The results of the study prove that the project manager will show a tendency to escalate commitment by continuing unfavorable projects in adverse selection conditions or in negative framing conditions.

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Investor Biases in Financial Decisions

Handbook of Research on Behavioral Finance and Investment Strategies - Advances in Finance, Accounting, and Economics ◽

10.4018/978-1-4666-7484-4.ch009 ◽

2015 ◽

pp. 147-169

Author(s):

Shalini Kalra Sahi

Keyword(s):

Decision Making ◽

Information Processing ◽

Financial Management ◽

Investment Decision ◽

Self Awareness ◽

Rational Decision ◽

Net Worth ◽

Financial Decisions ◽

Investment Decision Making ◽

Making Choices

Financial Decisions involve making choices between various investment alternatives, with the aim of increasing the individual's net worth. The investor today is exposed to various investment options, but does not have the knowledge and capability of evaluating all the options and making a rational decision. Due to the limitation in the information processing capacities of the individuals, their beliefs and preferences, the investment decision-making process, gets biased. This chapter highlights ten such biases and throws light on how they impact investment behaviour, both positively and negatively. This understanding of investor psychology will generate insights that will benefit the financial advisory relationship. Further for Individuals, recognizing how the biases impact their financial decisions, can help create self-awareness and an understanding that would help them in better financial management, in case these tendencies are leading them to make unsatisfactory investments.

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The effects of accounting knowledge, entrepreneurial traits, and subjective norms on the use of accounting information in investment decision making (case study on MSME actors in Gunungkidul Regency)

Journal of Islamic Accounting and Finance Research ◽

10.21580/jiafr.2020.2.2.6020 ◽

2020 ◽

Vol 2 (2) ◽

pp. 295

Author(s):

Firdha Rahmiyanti ◽

Reza Adellya Pratiwi ◽

Heny Yuningrum ◽

Muyassarah Muyassarah

Keyword(s):

Decision Making ◽

Quantitative Research ◽

Investment Decision ◽

Accounting Information ◽

Investment Decisions ◽

Subjective Norms ◽

Future Research ◽

Investment Decision Making ◽

Independent Variable

Purpose - The purpose of this study is to determine the effects of accounting knowledge, entrepreneurial traits, and subjective norms on the use of accounting information on making investment decisions of MSME actors in Gunungkidul Regency.Method - This study uses quantitative research methodology by purposive sampling. The gathered data in this study were processed using the SPSS program. This study was carried out on 20 February to 20 March 2020. The population in this study was businessmen of MSMEs in Gunungkidul Regency who had used accounting documentation. The research took 60 respondents as a sample of the study. Result - This study resulted that the variables of accounting knowledge and entrepreneurial traits have a positive and significant effect on the use of accounting information in making investment decisions of MSME actors in Gunungkidul Regency; While the subjective norms variable does not have a positive and significant effect on the use of accounting information in making investment decisions of MSME actors in the Gunungkidul Regency.Implication - Future research can expand the object of research in several other regencies and can add other research variables.Originality - The researchers added an independent variable that is subjective norms and entrepreneurial traits, whereas the previous researchers only used accounting knowledge as the independent variable.

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STUDENT MOTIVATION IN A REAL INVESTMENT DECISION- MAKING CASE STUDY

Journal of Management and Business Education ◽

10.35564/jmbe.2020.0016 ◽

2020 ◽

Vol 3 (3) ◽

pp. 250-265

Author(s):

Paola Plaza-Casado ◽

Sandra Escamilla-Solano ◽

Carmen Orden-Cruz

Keyword(s):

Decision Making ◽

Student Motivation ◽

Positive Impact ◽

Investment Decision ◽

Training Needs ◽

Direct Application ◽

Incentive System ◽

Investment Decision Making ◽

The University

One of the main concerns of the university is the ability to respond to the training needs of future workers. The disconnection between the theory and the practise causes demotivation because sometimes knowledge learned in the classroom has no direct application at work. The purpose of this study is to evaluate student motivation through investment decision-making real case using gamification techniques and an incentive system. The results showed a positive impact since students improved their learning and appreciated its usefulness. The main conclusion is the necessity to include real examples in the classroom.

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The Testing of Belief-Adjustment Model and Framing Effect on Non-Professional Investor’s Investment Decision-Making

The Indonesian Accounting Review ◽

10.14414/tiar.v7i1.945 ◽

2018 ◽

Vol 7 (1) ◽

pp. 1

Author(s):

Taufan Hanafi

Keyword(s):

Decision Making ◽

Undergraduate Students ◽

Investment Decision ◽

Framing Effect ◽

Bad News ◽

Good News ◽

Information Order ◽

Adjustment Model ◽

Investment Decision Making ◽

Belief Adjustment

This study aims to find out the effect of belief-adjustment model and framing effect on non-professional investor’s investment decision making. The designs of experiment used in this study are the presentation pattern of 2x2x2, disclosure pattern (step-by-step and end-of-sequence), disclosure evidence of information order (good news followed by bad news and bad news followed by good news), and framing effect (framing condition according to the information and framing condition with the reversed information). The research hypotheses in this study are tested using parametric test. The dependent variable used in this study is investment decision making, while, the independent variables used in this study are belief-adjustment model and framing effect. The number of participants involved in this study is 80 undergraduate students of STIE Perbanas Surabaya majoring in Accounting or Management. The results indicate that there are significant differences in decision making and recency effect occurs between the investors who receive good news followed by bad news and the investors who receive bad news followed by good news in the step-by-step disclosure pattern with framing condition according to the information. The results of this study also show that primacy effect occurs between the investors who receive good news followed by bad news and the investors who receive bad news followed by good news in the step-by-step disclosure pattern with framing condition in reversed information.

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Impact of Financial Literacy and Behavioural Biases on Investment Decision-making

FIIB Business Review ◽

10.1177/23197145211035481 ◽

2021 ◽

pp. 231971452110354

Author(s):

Suresh G.

Keyword(s):

Decision Making ◽

Financial Literacy ◽

Investment Decision ◽

Investment Decisions ◽

Positive Association ◽

Framing Effect ◽

Individual Investors ◽

Significant Positive Association ◽

Investment Decision Making ◽

Cognitive Illusions

Investors’ financial literacy entails making sound investment decisions and the behavioural biases or irrational behaviour in decision-making that are collectively formed by heuristic bias, framing effect, cognitive illusions and herd mentality factors. The present study examines the combined impact of financial literacy and behavioural biases on investment decisions. A questionnaire was developed using Likert scaling technique to elicit study variables and collected data was analysed using SEM technique. The results showed that heuristic bias had a significant positive association with the creation of behavioural bias in decision-making. However, the framing effect, cognitive illusions and herd mentality have negative associations in the formation of behavioural biases. Further, investors often practice and follow heuristic biases rather than other irrational techniques for making investment decisions. Therefore, the financial literacy of individual investors has a significant impact on affecting stock market investment decisions.

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