Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile
This study aims to provide empirical evidence of millennials' investment behaviors, considering their risk profiles as a moderating factor. It also explores the financial literacy and behaviors of millennials. Predictions from the Central Bureau of Statistics (Badan Pusat Statistik/BPS) sugges...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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aculté d'Economie et de Gestion, Université Ibn Tofail, Kénitra
2024-03-01
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| Series: | International Journal of Financial Studies, Economics and Management |
| Subjects: | |
| Online Access: | http://ijfsem.org/index.php/ijfsem/article/view/137 |
| _version_ | 1797248748312592384 |
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| author | Yuliani Yuliani Taufik Taufik Shelfi Malinda Rasyid Hs Umrie |
| author_facet | Yuliani Yuliani Taufik Taufik Shelfi Malinda Rasyid Hs Umrie |
| author_sort | Yuliani Yuliani |
| collection | DOAJ |
| description |
This study aims to provide empirical evidence of millennials' investment behaviors, considering their risk profiles as a moderating factor. It also explores the financial literacy and behaviors of millennials. Predictions from the Central Bureau of Statistics (Badan Pusat Statistik/BPS) suggest that millennials will form the majority in Indonesia's demographic structure, thereby shaping the country's future. The study involved 168 millennials, recruited through convenience sampling, with data collection occurring in June-July 2021. The data was analyzed using exploratory factor analysis and a structural equation model, revealing that financial literacy and behavior significantly and positively impact investing; however, while risk profile moderation affects financial literacy, it does not moderate financial behavior. The study faced limitations, including a sample size of 168 respondents—barely meeting the minimum requirements for SEM analysis—and the geographic limitation of respondents being from Palembang city. Future studies are recommended to explore a broader region with a larger sample size to enhance understanding of the moderating effect of risk profiles in financial planning.
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| first_indexed | 2024-04-24T20:19:31Z |
| format | Article |
| id | doaj.art-6a1c60cbf5a2404da0278eff23a4c2f0 |
| institution | Directory Open Access Journal |
| issn | 2820-6967 |
| language | English |
| last_indexed | 2024-04-24T20:19:31Z |
| publishDate | 2024-03-01 |
| publisher | aculté d'Economie et de Gestion, Université Ibn Tofail, Kénitra |
| record_format | Article |
| series | International Journal of Financial Studies, Economics and Management |
| spelling | doaj.art-6a1c60cbf5a2404da0278eff23a4c2f02024-03-22T09:33:38Zengaculté d'Economie et de Gestion, Université Ibn Tofail, KénitraInternational Journal of Financial Studies, Economics and Management2820-69672024-03-0131Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profileYuliani Yuliani0Taufik Taufik 1Shelfi Malinda2Rasyid Hs Umrie3Universitas Sriwijaya, IndonesiaUniversitas Sriwijaya, IndonesiaUniversitas Sriwijaya, IndonesiaUniversitas Sriwijaya, Indonesia This study aims to provide empirical evidence of millennials' investment behaviors, considering their risk profiles as a moderating factor. It also explores the financial literacy and behaviors of millennials. Predictions from the Central Bureau of Statistics (Badan Pusat Statistik/BPS) suggest that millennials will form the majority in Indonesia's demographic structure, thereby shaping the country's future. The study involved 168 millennials, recruited through convenience sampling, with data collection occurring in June-July 2021. The data was analyzed using exploratory factor analysis and a structural equation model, revealing that financial literacy and behavior significantly and positively impact investing; however, while risk profile moderation affects financial literacy, it does not moderate financial behavior. The study faced limitations, including a sample size of 168 respondents—barely meeting the minimum requirements for SEM analysis—and the geographic limitation of respondents being from Palembang city. Future studies are recommended to explore a broader region with a larger sample size to enhance understanding of the moderating effect of risk profiles in financial planning. http://ijfsem.org/index.php/ijfsem/article/view/137Financial literacyFinancial behaviorInvestmentMillennialRisk profile |
| spellingShingle | Yuliani Yuliani Taufik Taufik Shelfi Malinda Rasyid Hs Umrie Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile International Journal of Financial Studies, Economics and Management Financial literacy Financial behavior Investment Millennial Risk profile |
| title | Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile |
| title_full | Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile |
| title_fullStr | Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile |
| title_full_unstemmed | Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile |
| title_short | Impact of financial literacy and financial behavior on investment among millennial in Indonesia: the moderating role of risk profile |
| title_sort | impact of financial literacy and financial behavior on investment among millennial in indonesia the moderating role of risk profile |
| topic | Financial literacy Financial behavior Investment Millennial Risk profile |
| url | http://ijfsem.org/index.php/ijfsem/article/view/137 |
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