Relationship between Financial Socialization and Financial Well-being and Intermediary Role of Financial Security
Subject Areas : Financial and Behavioral Researches in Accounting
Alireza Hooshmandi
1
,
Omid pourheidari
2
,
Amirhossein Taebi Noghondari
3
1 - Faculty of Literature and Humanities
2 - Professor of Accounting, Accounting Department, Faculty of Management & Economics, Shahid Bahonar University of Kerman, Kerman, Iran,
3 - Assistant Professor of Accounting, Kerman Branch, Islamic Azad University, Kerman, Iran.
Keywords: financial socialization, financial well-being, financial security,
Abstract :
The purpose of this research is to investigate the relationship between financial socialization and financial well-being, considering the mediating role of financial security. The applied research method is survey type. Accordingly, 450 questionnaires were received online from investors in Tehran Stock Exchange and 420 questionnaires were accepted. For data analysis, structural equation method (SEM) were used. Also, the maximum likelihood estimation (MLE) method has been used to estimate the value of unknown parameters. The findings of the research indicate that there is a positive and significant direct and indirect relationship between financial socialization and financial well-being. On the other hand, the findings showed that the complete model has a better fit than the indirect model, which indicates the mediation of financial security. That is, financial security has partially explained the relationship between financial socialization and financial well-being. The present study has explained the concept of financial security in building the relationship between financial socialization and financial well-being by using the principles of behavioral finance. The results of this research have provided valuable information for people to identify and understand various psychological characteristics that can lead to the creation of satisfactory and safe investments so that people can protect their investments from various risks with greater peace of mind.
