Behavioral Decision Making Pattern for Individual Investors In Tehran Stock Exchange

Subject Areas : Journal of Investment Knowledge

M. Hossein Abdorrahimian ¹ , Taqi Torabi ² , S. Jalal Sadeghisharif ³ , Roya Darabi ⁴

1 - Ph.D.student, Deparment of Management, UA E Branch, Islamic Azad University, Dubai, United Arab Emirates
2 - Associate Professor, Department of Economics, Sience and Research Branch, Islamic Azad University, Tehran, Iran(Corresponding Author)
3 - Assistant Professor, Department ofFinancial Management and Accounting, Shahidbeheshti University, Tehran, Iran
4 - Associate Professor, Department of Accounting, South Tehran Branch, Islamic Azad University, Tehran, Iran

Received: 2017-02-20 Accepted : 2017-06-18 Published : 2018-06-22

Keywords: Behavioral Decision Making, Bounded Rationality, Cognitive Bias, Emotional Bias, Personalty,

Abstract :

In accordance with the objectives, qualitative and quantitative composition was operated. The strategy also phenomenography in qualitative section, in-depth semi-structured interviews conducted with experts capital market and analyzed using content analysis methods that eighteen components were identified. Whit this components the questionnaire of quantitative sectin was designed. A total of 400 questionnaires were distributed into available non random sampling and 275 completed questionnaires were collected. Data from the questionnaire using factor analysis to investigate and research the major issues such as cultural factors, cognitive, emotional, and personality were identified. Moreover, data through software SPSS and Amos Graphic using path analysis were analyzed. The results indicate that the most fundamental factor for the behavior of investors is culture. Cognitive bias etc. are precedence over emotional bias etc. (schema theory) alongside influence of personality, cause herding behaviors in the decision making private investors.  

References:

*       بدری، احمد.دانش مالی رفتاری و مدیریت دارایی. تهران، کیهان.

*       حاج علیان ، مهناز(1394).بررسی تاثیر سبک سرمایه گذاری سرمایه گذاران بر پیش بینی بازده سهام شرکت‌ها دربورس اوراق بهادارتهران. دانشگاه الزهرا ،تهران، پایان نامه کارشناسی ارشد مدیریت مالی.

*       حریری، نجلا (1385)، اصول و روش‌های پژوهش کیفی. تهران، دانشگاه آزاد اسلامی، واحد علوم و تحقیقات.

*       رضائیان علی(1387). مبانی مدیریت رفتار سازمانی، انتشارات سمت، تهران.

*       سعیدی،  علی و فرهانیان،  سید محمد جواد. مبانی اقتصاد و مالی رفتاری،  شرکت اطلاع رسانی وخدمات بورس ، چاپ اول ، (1390).

*       غیور، سید مرتضی، (1392)، ارائه الگوی رفتاری سرمایه‌گذاران خراسان رضوی، دانشگاه فردوسی مشهد، مشهد، پایان‌نامه دکتری.

*       موحد محمدی، حمید و پورآتشی، مهتاب،(1395). راهنمای گام به گام مدل سازی معادله ساختاری: با استفاده از نرم افزار AMOS Graphic ،انتشارات دانشگاه تهران.

*       هومن، حیدرعلی (1391).مدل یابی معادلات ساختاری با کاربرد نرم افزار لیزرل )با اصلاحات). تهران :سازمان مطالعه و تدوین کتب علوم انسانی دانشگاه‌ها ) سمت.(

*       *Adler, N. J. (2008). International dimensions of organizational behavior. Boston: kent publishing.

*       Baghdadabad. M, Habibi. F and Halid. N (2011), A study on small investors’ behavior in choosing stock, case study: Kuala-Lumpur stock market”. African Journal of Business Management Vol. 5(27), pp. 11082- 11092,9 November.

*       Betsch, T. and S. Haberstroh. (eds.) 2005. The routines of decision making. Mahwah, NJ and London: Lawrence Erlbawm.

*       Chandra, Abhijeet and Kumar, Ravinder. (2011) “Determinants of individual investor behaviour: An orthogonal linear transformation approach”. Jamia Millia Islamia (Central University), New Delhi.

*       *Chui, A. C., Titman, S., and Wei, K. J. (2010). Individualism and momentum around the world. The Journal of Finance, 65(1), 361-392.

*       Fernandes, Jose, Pena, Juan I. and Benjamin Tabak (2009), Behavior Finance and Estimation Risk in Stochastic Portfolio Optimization, Banco Central Do Brasil, Working Paper No. 184.

*       *Lal, D. (2001). Unintended consequences: The impact of factor endowments, culture, and politics on long-run economic performance (Vol. 7). MIT Press.

*       Merilkas,A. and Prasad ,D. (2003). «Factor influencing Greek investor behavior onthe Athens stock Exchange »,paper presented at the Annual meeting of Academy of Financial Services, Colorado.

*       Robbins, Stephen, P; Managing Today; New Jersey: Prentice Hall, 2000, P. 69.

*       Simon, Herbert A.; "Making Management Decisions: The role of Intuition and Emotion"; Academy of Management Executive; No. 1, (Feb. 1987), Pp. 57-64.