The Influence of Extraversion and Neuroticism on Investors' Risk Attitude, Risk Perception, and Return Expectations

Subject Areas : Corporate Finance

Rahman Khani gonbad ¹ , Mansour Garkaz ² , khadije Eslami ³ , alireza maetoofi ⁴ , ali khozain ⁵

1 - Department of Accounting, Gorgan Branch, Islamic Azad University, Gorgan, Iran
2 - Department of Accounting, Gorgan Branch, Islamic Azad University, Gorgan, Iran
3 - Department of Accounting, Bandargaz Branch, Islamic Azad University, Bandargaz, Iran
4 - Department of Accounting, Gorgan Branch, Islamic Azad University, Gorgan
5 - Accounting, Aliabad Katool Branch, Islamic Azad University, Aliabad Katool, Iran

Received: 2025-02-26 Accepted : 2025-10-18 Published : 2025-12-01

Keywords: Keywords: investor return expectations, extraversion, risk perception, neuroticism, risk attitude.,

Abstract :

Objective: The aim of the present research is to investigate the impact of extraversion and neuroticism on risk attitude, risk perception, and return expectations of investors in the Tehran Stock Exchange. This research was conducted from October to December 2023. It is applied in nature and descriptive in terms of approach, while from the perspective of the research environment, it is field-based.

Methodology: This research is cross-sectional in terms of its temporal framework, survey-based in terms of study method, and analyzes individuals as the unit of analysis. The statistical population for this research consists of investors in the Tehran Stock Exchange. Sampling was conducted using random sampling methods, and the sample size was determined to be 384 individuals using Cochran's formula.

Findings: The results indicated that extraversion and neuroticism have a significant impact on risk perception, risk attitude, and return expectations of investors in the Tehran Stock Exchange.

Originality/Scientific Value: Based on the findings of this research, both active and potential investors in the Tehran Stock Exchange, as well as capital market participants, can rely on the results and benefit from the insights provided. Consequently, the behavioral model and rationality of investors can be enhanced by considering investor emotions and risk.

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