Risk Management and Investment Decision: A Synergy
Downloads
Investors consider risk-return in investment decisions. Several factors influence risk-return considerations, including demographic factors, social media, investment strategy, and the implementation of risk management. Data used in this research comes from Indonesia Capital Market (IDX) Investor and we used regression analysis to process the data. This research proposes the concept of interrelation between risk character and social media; as well as risk management and investment strategy. The results of the research show that investors use risk management in investing, and this risk management influences investment decisions. These results can be used as a benchmark for stakeholders to reinforce the importance of risk management in transactions.
Aren, S. (2020). Relationship between risk aversion , risky investment intention , investment choices Impact of personality traits and emotion. February. https://doi.org/10.1108/K-07-2019-0455
Asnawi, S. K. (2022). A Lesson for Us. Bintang Semesta Media, 274.
Asnawi, S. K., Siagian, D., Alzah, S. F., & Halim, I. (2022a). Does Disposition Effect Appear on Investor Decision During the COVID-19 Pandemic Era : Empirical Evidence from Indonesia *. 9(4), 53–62. https://doi.org/10.13106/jafeb.2022.vol9.no4.0053
Asnawi, S. K., Siagian, D., Alzah, S. F., & Halim, I. (2022b). Importance of Dividends to Millennial Investors in Indonesian Capital Markets. Jurnal Organisasi Dan Manajemen, 18(2), 43–56. https://doi.org/10.33830/jom.v18i2.2917.2022
Bodie, Z., Kane, A., & Marcus, A. J. (2011). Investment and Portfolio. McGraw Hill.
Breitmayer, B., Massari, F., & Pelster, M. (2019). Swarm intelligence? Stock opinions of the crowd and stock returns. International Review of Economics and Finance, 64(2), 443–464. https://doi.org/10.1016/j.iref.2019.08.006
Cookson, J. A., & Niessner, M. (2020). Why Don’t We Agree? Evidence from a Social Network of Investors. Journal of Finance, 75(1), 173–228. https://doi.org/10.1111/jofi.12852
Cueva, C., Iturbe-Ormaetxe, I., Ponti, G., & Tomás, J. (2019). An experimental analysis of the disposition effect: Who and when? Journal of Behavioral and Experimental Economics , 81, 207–215. https://doi.org/10.1016/j.socec.2019.06.011
da Silva, P. P., Mendes, V., & Abreu, M. (2022). The disposition effect among mutual fund participants: a re-examination. The European Journal of Finance, 28(12), 1237–1256.
De Souza, H. E., Barbedo, C. H. D. S., & Araújo, G. S. (2018). Does investor attention affect trading volume in the Brazilian stock market? Research in International Business and Finance, 44, 480–487. https://doi.org/10.1016/j.ribaf.2017.07.118
Fischbacher, U., Hoffmann, G., & Schudy, S. (2017). The Causal Effect of Stop-Loss and Take-Gain Orders on the Disposition Effect. 1998. https://doi.org/10.1093/rfs/hhx016
Harris, L. E., Hartzmark, S. M., & Solomon, D. H. (2015). Juicing the dividend yield: Mutual funds and the demand for dividends. Journal of Financial Economics, 116(3), 433–451.
https://doi.org/10.1016/j.jfineco.2015.04.001
He, Z., He, L., & Wen, F. (2019). Risk Compensation and Market Returns: The Role of Investor Sentiment in the Stock Market. Emerging Markets Finance and Trade, 55(3), 704–718. https://doi.org/10.1080/1540496X.2018.1460724
Heimer, R. Z. (2016). Peer pressure: Social interaction and the disposition effect. Review of Financial Studies, 29(11), 3177–3209. https://doi.org/10.1093/rfs/hhu001
Hermann, D., Mußhoff, O., & Rau, H. A. (2017). The disposition effect when deciding on behalf of others.
Imas, A. (2014). The Realization Effect : Risk-Taking After Realized Versus Paper Losses. 1–28.
Ke, D. (2021). Who Wears the Pants ? Gender Identity Norms and Intrahousehold Financial Decision-Making. The Journal of Finance, LXXVI(3). https://doi.org/10.1111/jofi.13002
Kinanti, Z. P., & Asnawi, S. K. (2022). Effects of Transparency: Analyzing Social Biases on Trader Performance in Social Trading. Jurnal Komunikasi Dan Bisnis, April 2020. https://doi.org/10.1057/s41265-016-0028-0
Kramer, M. M. (2016). Financial literacy, confidence and financial advice seeking. Journal of Economic Behavior and Organization, 131, 198–217. https://doi.org/10.1016/j.jebo.2016.08.016
Mokhtar, N., Sabri, M. F., & Ho, C. S. F. (2020). Financial Capability and Differences in Age and Ethnicity. Journal of Asian Finance, Economics and Business, 7(10), 1081–1091. https://doi.org/10.13106/jafeb.2020.vol7.no10.1081
Paravisini, D., Rappoport, V., & Ravina, E. (2010). Risk Aversion And Wealth: Evidence From Person-To-Person Lending Portfolios. In National Bureau Of Economic Research (Vol. 2, Issue 17).
Pelster, M., & Hofmann, A. (2018). About the Fear of Reputational Loss : Social Trading and the Disposition Effect ∗. 75–88.
Perveen, N., Ahmad, A., Usman, M., & Liaqat, F. (2020). Study of Investment Decisions and Personal Characteristics through Risk Tolerance: Moderating Role of Investment Experience. Revista Amazonia Investiga, 9(34), 57–68. https://doi.org/10.34069/ai/2020.34.10.6
Richards, D. W., Rutterford, J., Kodwani, D., & Fenton-O’Creevy, M. (2017). Stock market investors’ use of stop losses and the disposition effect. European Journal of Finance, 23(2), 130–152. https://doi.org/10.1080/1351847X.2015.1048375
Talpsepp, T. (2010). Does Gender and Age Affect Investor Performance and the Disposition Effect ?2(1).
