scholarly journals PENGARUH PENGGUNAAN INFORMASI AKUNTANSI TERHADAP PERILAKU KEUANGAN INVESTOR INDIVIDUAL UNTUK PENGAMBILAN KEPUTUSAN INVESTASI

2016 ◽  
Vol 2 (2) ◽  
pp. 1
Author(s):  
Loveanis Widya Puspa ◽  
Mukaram Mukaram
Keyword(s):  
Decision Making ◽  
Investment Decision ◽  
Accounting Information ◽  
Investment Decisions ◽  
Position Statement ◽  
Financial Behavior ◽  
Primary Data ◽  
P Value ◽  
Individual Investors ◽  
Complex Situation

Financial behavior intended to understand the behavior of investors in making investment decisions. Decision making is a process of selecting the best alternative from a number of alternatives available under the influence of a complex situation. Investment decision will be influenced by the information received, as well as the level of ability and knowledge of investors about the investment. There is an assortment of information needed in investment to note, one of which is the accounting information. The underlying concept is that the accounting information for the stock value of a company is influenced by the financial performance of the company concerned. Accounting information used by capital market investors are Statements of Financial Position, Statement of Comprehensive Income, Statement of Changes in Equity and Cash Flow Statement. This study aims to determine the effect of the use of accounting information to the financial behavior of individual investors in making investment decisions. The survey was conducted on 110 investor PT Phillips Securities Indonesia Bandung branch. Primary data was collected through questionnaire distribution and it is analyzed descriptively. This study resulted in the average number for the use of accounting information of 3.85 which means that the accounting information has been used well by investors. The average values for financial behavior is of 3.52, it can be interpreted that the financial behavior of investors in making investment decisions is good. For R Square obtained by 0.6%, proving that the accounting information contributed for 0.6% of the financial behavior of investors. As for the P value of 0.406, The figure is greater than 0.05, which is shows us that obtained figures which show that the use of accounting information has no influence on the financial behavior of individual investors for making investment decisions. So, although the results of this study indicate that the effect of accounting information on the behavior of financial investors when deciding on an investment is not significant, but investors stated that the accounting information presented by the company remain a consideration in the investment decision-making process.

Factors That Influence Investment Decision Making Among Potential Individual Investors in Malaysia

2019 ◽  
Vol 5 (1) ◽  
pp. 9
Author(s):  
Atikah Zulaikha Ahmad Zaidi ◽  
Nor Suziwana Hj Tahir
Keyword(s):  
Decision Making ◽  
Information Structure ◽  
Investment Decision ◽  
Accounting Information ◽  
Investment Decisions ◽  
Individual Investors ◽  
Market Outcomes ◽  
Decision Tools ◽  
Investment Decision Making ◽  
Behavioural Factors

Individual investments behaviour is concerned with choices about purchases of small amounts of securities for his or her own account. Decision tools often support investment decisions. It is assumed that information structure and the factors in the market systematically influence individuals’ investment decisions as well as market outcomes. Decision tools often support investment decisions. It is assumed that information structure and the factors in the market systematically influence individuals’ investment decisions as well as market outcomes. Investor market behaviour derives from psychological principles of decision making to explain why people buy or sell stocks. These factors will focus upon how investors interpret and act on information to make investment decisions. The purpose of the study was to identify the factors that influence investment decision making among potential individual investors in Malaysia. Three behavioural factors might influence investment decision making which are accounting-information, firm-image coincidence and personal-financial-needs. A set of questionnaire was distributed to 384 potential investors in Malaysia specifically in housing area of Klang Valley as population of this study. Based on the findings, it showed that there is positive relationship between accounting-information, firm-image-coincidence and personal-financial-needs in investment decision making. Hence, between these three behavioural factors, accounting-information, firm-image coincidence and personal-financial-needs, the main influential factor is accounting-information. This study also proposed a future research for investment decision making and give implications to the potential investors, community, organization, policy makers and investment practitioners.

scholarly journals ASSESSMENT OF THE ROLE OF ACCOUNTING INFORMATION ON EFFECTIVE INVESTMENT DECISION - THE CASE OF BANQUE POPULAIRE DU RWANDA ATLASMARA

2021 ◽  
Vol 6 (3) ◽  
Author(s):  
James Hodari
Keyword(s):  
Decision Making ◽  
Data Collection ◽  
Investment Decision ◽  
Accounting Information ◽  
Investment Decisions ◽  
Target Population ◽  
Staff Members ◽  
Investment Decision Making ◽  
Secondary Methods

The purpose of this study is to assess the role of accounting information on effective investment decisions at Banque Populaire du Rwanda Atlasmara. The target population was 50 staff members. The study used a primary method that involved questionnaires. Secondary methods of data collection involved a desk review of relevant materials. Data collection was then analyzed by using SPSS software. The study indicated a significant correlation between accounting information and investment decisions and all rely on information for an investment decision. It was seen from the analysis of responses, 83% argued always use accounting information for investment. It was revealed that the quality of accounting information in terms of its accuracy, adequacy, reliability, and mode of disclosure is a pertinent element of efficiency of investment decision making. The study recommends that commercial banks should use accounting always to increase the accuracy of their investment decision-making. The study recommends that Banque Populaire du Rwanda should consult the accounting information before making investment decisions and all interested parties to accounting information should use necessary financial ratios analysis for an investment decision. The study concludes that there is a significant correlation between accounting information and investment decision. JEL: M10; M41; R42 <p> </p><p><strong> Article visualizations:</strong></p><p><img src="/-counters-/edu_01/0845/a.php" alt="Hit counter" /></p>

Effect of Disposition Effect on Investment Decision Making in Property Market in Plateau State, Nigeria

2019 ◽  
pp. 83-98
Author(s):  
Dashol Ishaya Usman ◽  
Mary Pam
Keyword(s):  
Decision Making ◽  
Behavioral Finance ◽  
Investment Decision ◽  
Investment Decisions ◽  
Primary Data ◽  
Property Market ◽  
Financial Decisions ◽  
Descriptive Research ◽  
Investment Decision Making ◽  
Plateau State

The purpose of the chapter was to establish the effect of disposition on investment decision making in property market in Plateau State, Nigeria. Descriptive research design was used in the study. Primary data was collected using standard questionnaires with both closed and open-ended questions. The regression analysis results confirmed that there was a significant positive linear relationship between disposition and investor investment decision making in property market in Plateau State in Nigeria. The study concluded that disposition effects bias does not alter rationality in investment decision making. Disposition affected investment decisions. The main recommendation for investors is to make constant attempts to increase their awareness on behavioral finance by educating themselves on the field. Studying about the biases and reflecting on their decisions are likely to help achieve better self-understanding of the extent and manner to which they are influenced by emotions while making financial decisions under uncertainty.

scholarly journals An Analysis of Behavioral Biases in Investment Decision-Making

2019 ◽  
Vol 10 (4) ◽  
pp. 55 ◽  
Author(s):  
Geetika Madaan ◽  
Sanjeet Singh
Keyword(s):  
Decision Making ◽  
Positive Impact ◽  
Stock Exchange ◽  
Investment Decision ◽  
Investment Decisions ◽  
Individual Investors ◽  
Behavioral Biases ◽  
Investment Decision Making ◽  
Survey Responses ◽  
The Impact

Individual investor’s behavior is extensively influenced by various biases that highlighted in the growing discipline of behavior finance. Therefore, this study is also one of another effort to assess the impact of behavioral biases in investment decision-making in National Stock Exchange. A questionnaire is designed and through survey responses collected from 243 investors. The present research has applied inferential statistics and descriptive statistics. In the existing study, four behavioral biases have been reviewed namely, overconfidence, anchoring, disposition effect and herding behavior. The results show that overconfidence and herding bias have significant positive impact on investment decision. Overall results conclude that individual investors have limited knowledge and more prone towards making psychological errors. The findings of the study also indicate the existence of these four behavioral biases on individual investment decisions. This study will be helpful to financial intermediaries to advice their clients. Further, study can be elaborated to study other behavioral biases on investment decisions.

scholarly journals Effect of Emotional Biases on Investor’s Decision Making in Nigeria

2020 ◽  
Vol 4 (1) ◽  
pp. 33-39
Author(s):  
Ebenezer Y. Akinkoye ◽  
Oluwaseun E. Bankole
Keyword(s):  
Decision Making ◽  
Loss Aversion ◽  
Stock Exchange ◽  
Investment Decision ◽  
Investment Decisions ◽  
Primary Data ◽  
Investment Decision Making ◽  
Regret Aversion ◽  
Overconfidence Bias ◽  
Structured Questionnaire

The study examined emotional biases and its effect on investor’s decision making in Nigeria Primary data were employed and the population consists of clients of the top 10 stockbroking firms registered by the Nigerian Stock Exchange as at 31st January, 2018. These firms were selected because they contributed to 68.72% of total value of transactions as at 31st January, 2018. Data on emotional biases and investment decision making among investors in Nigeria were obtained through structured questionnaire which was administered to 30 clients of each stockbroking firm, totalling 300. Data analysis was done using percentages and logistic regression analysis. Findings showed that emotional biases, represented by loss-aversion bias, overconfidence bias, regret-aversion bias and herding bias were prevalent to Nigerian investors and also significantly influenced investor’s decision making in Nigeria. The study suggests that investors should improve the understanding of various emotional biases and traits exhibited by them, adopt a suitable decision technique to avoid this and seek experts’ opinion when making investment decisions.

scholarly journals Impact of Behavioral Factors in Making Investment Decisions and Performance: Evidence from Pakistan Stock Exchange

Market Forces ◽  
2021 ◽  
Vol 16 (1) ◽  
pp. 22
Author(s):  
Muhammad Rehan ◽  
Jahanzaib Alvi ◽  
Lubna Javed ◽  
Baber Saleem
Keyword(s):  
Decision Making ◽  
Behavioral Finance ◽  
Stock Exchange ◽  
Investment Decision ◽  
Investment Decisions ◽  
Individual Investors ◽  
Behavioral Factors ◽  
Factors Affecting ◽  
Investment Decision Making ◽  
The Impact

Market irregularities and irrational behavior triggered investor’s changes in the stock market, and this has led to an investigation into the impact of various behavioral biases and factors affecting decision-making for individual investors. The quality of individual investor behavior in making stock investment decisions is very important to be understood as a reference of the movement of the capital market. This study investigated the role of behavioral finance and investor psychology in investment decision-making at the Pakistan Stock Exchange (PSE). Using a sample of 147 individual investors, the study established that behavioral factors such as Herding, Heuristic, Market and Prospect that affected the decisions of the investors operating at the Pakistan Stock Exchange (PSE). As there are a few studies in Pakistan related to behavioral finance, so this study mainly contributes to the field of behavioral finance in Pakistan. This study focusses on existing theories of behavioral finance which led to develop the hypothesis. The result of the analysis is that the four variables have greatly influenced the investment decision and return on investment. All behavioral variables have a significant impact on the decision-making process of investors, which led to the acceptance of all assumptions regarding the level of influence of behavioral factors in decision making for individual investors

scholarly journals 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)

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

<p class="IABSSS"><strong>Purpose</strong> - 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.</p><p class="IABSSS"><strong>Method </strong>- 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.  </p><p class="IABSSS"><strong>Result</strong> - 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.</p><p class="IABSSS"><strong>Implication</strong> - Future research can expand the object of research in several other regencies and can add other research variables.</p><strong>Originality</strong> - 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.

Determinants of Investment Decision Making: An Empirical Study

GIS Business ◽  
2017 ◽  
Vol 12 (6) ◽  
pp. 23-33
Author(s):  
Gunjan Sharma ◽  
Tarika Singh ◽  
Suvigya Awasthi
Keyword(s):  
Decision Making ◽  
Empirical Study ◽  
Financial Market ◽  
Investment Decision ◽  
Investment Decisions ◽  
Central Position ◽  
Individual Investors ◽  
Investment Decision Making ◽  
Financial Options ◽  
Investment Behaviour

India as a developing country is becoming economically more powerful and requires huge capital for various developmental activities. In order to boost the investment among individual investors, it is necessary to study the investment behaviour of individuals and identify the factors that motivate them to invest, so that idle savings can be channelised into investment. Investment decisions are influenced by many reasons. It is a tolerable fact that the financiers are the central position in the financial market. Behaviour of investors is not fixed. It changes from position to position and from security to security. Hence, it is necessary to identify the factors which influence the investment decisions. In order to increase investment and formulate appropriate theories and policies, it is necessary to understand how individuals invest in the securities and other financial options available.

scholarly journals Numbers Talk Loud? A Case In Making Investment Decisions

2012 ◽  
Vol 9 (1) ◽  
pp. 7-12
Author(s):  
Songtao Mo
Keyword(s):  
Decision Making ◽  
Investment Decision ◽  
Accounting Information ◽  
Investment Decisions ◽  
Financial Accounting ◽  
Decision Making Process ◽  
Student Interest ◽  
Undergraduate Level ◽  
Investment Decision Making

This study presents a case study intended for use in the introductory financial accounting course at the undergraduate level. The case study is designed for students to evaluate accounting information in the investment decision-making process. The project aims to stimulate student interest in accounting by presenting the application of accounting information.

scholarly journals Determinants of Investment Decisions: A Study of Individual Investors on the Zimbabwe Stock Exchange

2020 ◽  
Vol 7 (5) ◽  
pp. 38
Author(s):  
Peter Hunguru ◽  
Vusumuzi Sibanda ◽  
Ruramayi Tadu
Keyword(s):  
Decision Making ◽  
Stock Exchange ◽  
Investment Decision ◽  
Investment Decisions ◽  
Positive Association ◽  
Individual Investors ◽  
Individual Investor ◽  
Behavioural Factors ◽  
The Individual ◽  
Regret Aversion

This study investigated factors that inform individual investors in their decision-making on the Zimbabwe Stock Exchange. The main objective was to identify and assess the effect of the behavioural factors on investment decisions of individual investors. A quantitative survey of 291 randomly selected individual Zimbabwe Stock Exchange investors was conducted. Multiple regression analysis was used to calculate the correlation coefficient of behavioural factors and investment decision while correlation analysis was used to measure the strength of the relationship between the independent variables. The findings of the study established that the predictor variables had a strong positive association between them and individual investor decision at a significant level of 0.01 and 0.005. The findings of the study revealed that individual investor decisions are influenced by the behavioural factors which are; anchoring, availability, gambler’s fallacy, overconfidence, herding, loss aversion, mental accounting, regret aversion and representativeness. The study recommends the need for improved information on the stock markets dynamics as well as training on investor awareness programmes to support the decision-making abilities of the individual investors on the ZSE to fully play its rightful role in the development of the economy.

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