Optimization of investment performance based on personality traits

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Muhammad Yusuf, Nugraha, Disman, Maya Sari

2023 Quality - Access to Success Vol. 24 Issue 192 Article Cited by 0 SDG 8 Quartile

Abstract

To achieve their investment objectives, each investor has a strategy in place. A high amount of personality traits element influenced (perceived) investment performance. The purpose of this research was to test how the Big Five personality qualities affected (perceived) investment performance. The hypotheses were tested using PLS-SEM. Individual stock investors in Indonesia were studied, and the results revealed that openness and neuroticism personality had a negative impact on (perceived) investment performance. Consciousness, extraversion, and agreeableness, on the other hand, all had a positive effect on (perceived) investment performance. This research shows the importance of personality traits when allocating assets to meet investment objectives and improves behavioral finance theory. © 2023, SRAC - Romanian Society for Quality. All rights reserved.

Affiliations

Faculty of Economics, Universitas Negeri Jakarta, Indonesia; Faculty of Economic and Business Education, Universitas Pendidikan Indonesia, Bandung, Indonesia

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