Investigating the traits of investors in Ho Chi Minh Stock Exchange market
Abstract
The purpose of this study is to investigating the personality traits of stock
investors in HCMC. This study examines whether personality traits belong to stock
investors in HOSE, including four Elemental traits of Introversion, Agreeableness,
Material Needs, Arousal Needs; two Compound traits of Need for Learning, Present
Time and three Situational traits of Financial Conservative, Numeracy, Superstition and
one Situational trait of Stock Investing. This study employs the 3M Model – hierarchical
model (Mowen, 2000) and Structural Equation Model (SEM) to test the hypothesized
relationships.
The analysis results reveal that stock investors in HOSE own four traits of
Agreeableness, Financial Conservative, Superstition and Numeracy. In other words, these
traits have direct impact to investing activities of HCM investors. The paper also finds
out some traits have indirect impact to investors’ activities including Introversion,
Material Needs, Arousal Needs, Need for Learning, Present Time. Financial brokerage
companies can use this study’s finding for understanding their customers’ traits more
from which tailoring advises for their investment. Psychologists specializing in investors’
personalities and scholars specializing in behavioral finance can refer this for their
researches.
Key words: Traits, Stock investors, Stock investing, Ho Chi Minh stock exchange.