Behavioural bias in investment decisions: moderate role of self-control
Behavioural aspects in making financial or investment decisions have been inspired by the increasing role of behaviour as determinants of buying and selling securities. This study aims to analyze the effect of loss aversion and mental accounting on investment decisions and the role of self-control a...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Indonesian Institute for Counseling, Education and Therapy (IICET)
2023-03-01
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| Series: | JPPI (Jurnal Penelitian Pendidikan Indonesia) |
| Subjects: | |
| Online Access: | https://jurnal.iicet.org/index.php/jppi/article/view/1798 |
| _version_ | 1797754086533103616 |
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| author | Muhadjir Anwar Sulastri Irbayuni Ira Wikartika Heri Pratikto |
| author_facet | Muhadjir Anwar Sulastri Irbayuni Ira Wikartika Heri Pratikto |
| author_sort | Muhadjir Anwar |
| collection | DOAJ |
| description | Behavioural aspects in making financial or investment decisions have been inspired by the increasing role of behaviour as determinants of buying and selling securities. This study aims to analyze the effect of loss aversion and mental accounting on investment decisions and the role of self-control as a moderating variable on the effect of loss aversion and mental accounting on investment decisions. The research sample was 137 Small and Medium Footwear Industries in Mojokerto City. The sampling technique was probability sampling. Thus, this research used simple random sampling. The respondents of this research were the owners or managers of Small and Medium Industries (SMIs). The primary data was obtained directly from respondents’ answers to questionnaire statements. The data analysis method was Structural Equation Model-Partial Least Square (SEM-PLS). The results showed that: First, loss aversion and mental accounting have a significant positive effect on investment decisions. Second, self-control is not moderate the effect of loss aversion on investment decisions but moderates the effect of mental accounting on investment decisions. Psychomotor aspects of mental accounting from owners or managers of SMIs is realizing that the existing accounts receivable is the primary source of income for the business. |
| first_indexed | 2024-03-12T17:28:24Z |
| format | Article |
| id | doaj.art-45bc7dcfda0b4460b94b849fce21e84b |
| institution | Directory Open Access Journal |
| issn | 2477-8524 2502-8103 |
| language | English |
| last_indexed | 2024-03-12T17:28:24Z |
| publishDate | 2023-03-01 |
| publisher | Indonesian Institute for Counseling, Education and Therapy (IICET) |
| record_format | Article |
| series | JPPI (Jurnal Penelitian Pendidikan Indonesia) |
| spelling | doaj.art-45bc7dcfda0b4460b94b849fce21e84b2023-08-05T04:58:12ZengIndonesian Institute for Counseling, Education and Therapy (IICET)JPPI (Jurnal Penelitian Pendidikan Indonesia)2477-85242502-81032023-03-019149049810.29210/0202317981331Behavioural bias in investment decisions: moderate role of self-controlMuhadjir Anwar0Sulastri Irbayuni1Ira Wikartika2Heri Pratikto3UPN Veteran East JavaUPN Veteran East JavaUPN Veteran East JavaUniversitas Negeri MalangBehavioural aspects in making financial or investment decisions have been inspired by the increasing role of behaviour as determinants of buying and selling securities. This study aims to analyze the effect of loss aversion and mental accounting on investment decisions and the role of self-control as a moderating variable on the effect of loss aversion and mental accounting on investment decisions. The research sample was 137 Small and Medium Footwear Industries in Mojokerto City. The sampling technique was probability sampling. Thus, this research used simple random sampling. The respondents of this research were the owners or managers of Small and Medium Industries (SMIs). The primary data was obtained directly from respondents’ answers to questionnaire statements. The data analysis method was Structural Equation Model-Partial Least Square (SEM-PLS). The results showed that: First, loss aversion and mental accounting have a significant positive effect on investment decisions. Second, self-control is not moderate the effect of loss aversion on investment decisions but moderates the effect of mental accounting on investment decisions. Psychomotor aspects of mental accounting from owners or managers of SMIs is realizing that the existing accounts receivable is the primary source of income for the business.https://jurnal.iicet.org/index.php/jppi/article/view/1798loss aversion, mental accounting, self control, and investment decision |
| spellingShingle | Muhadjir Anwar Sulastri Irbayuni Ira Wikartika Heri Pratikto Behavioural bias in investment decisions: moderate role of self-control JPPI (Jurnal Penelitian Pendidikan Indonesia) loss aversion, mental accounting, self control, and investment decision |
| title | Behavioural bias in investment decisions: moderate role of self-control |
| title_full | Behavioural bias in investment decisions: moderate role of self-control |
| title_fullStr | Behavioural bias in investment decisions: moderate role of self-control |
| title_full_unstemmed | Behavioural bias in investment decisions: moderate role of self-control |
| title_short | Behavioural bias in investment decisions: moderate role of self-control |
| title_sort | behavioural bias in investment decisions moderate role of self control |
| topic | loss aversion, mental accounting, self control, and investment decision |
| url | https://jurnal.iicet.org/index.php/jppi/article/view/1798 |
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