Journal of Business, Economics and Finance, vol.8, no.3, pp.155-164, 2019 (Peer-Reviewed Journal)
Purpose- The development of
financial markets, the complexity of financial products and services,
the differences in individual investor profile increase the importance
of estimating the financial behaviour of individual investors. The aim
of the study is to determine the effects of individual investor's
personality traits on their financial behaviors.
questionnaire designed to evaluate the personality traits and financial
behaviours of individual investors was used. The data set consisted of
1347 individual investors through survey method. We performed multiple
linear regression to examine the hypothesized relationships.
According to the statistical results of the research, the dimensions of
personality traits such as conscientiousness, agreeableness and
openness to experience have positive and significant effects on
financial behaviour. But extraversion and neuroticism have not
significant effects on financial behaviour. Conclusion- The results of
the study emphasize the importance of personality characteristics in
explaining financial behaviours. Personality traits are important
factors that financial institutions should focus on when offering
products and services related to individual investor portfolios.