Date of Publication

2021

Document Type

Dissertation/Thesis

Degree Name

Bachelor of Science in Management of Financial Institutions

College

Ramon V. Del Rosario College of Business

Department/Unit

Financial Management Department

Honor/Award

Nominated for Best Thesis

Thesis Advisor

Atty. Rene B. Betita

Defense Panel Chair

Dr. Junette Perez

Defense Panel Member

Mr. Edralin Lim

Mr. Arwin Layson

Abstract/Summary

This study determined the impact of behavioral factors on retail investors’ decision making during the COVID-19 pandemic. The study used 4 groups of behavioral factors which are the following: Heuristic Theory, Prospect Theory, Market Factors, and Herding Theory.

The sample size is 154 retail investors residing in Makati, Parañaque, and Quezon City, covering the period, January 2020 to October 2020. In this study, data was collected through an online survey using a 6-point likert scale. It was then tested in a software called Statistica in order to analyze the data using Mean Analysis and Normalization.

Overall, behavioral factors are influential towards the decision-making of retail investors with the Fluctuation in the Stock Index showing the most impact. It was also shown that the COVID-19 pandemic does bring out irrational behavior out of investors, in the sense that their irrationality causes them to behave extremely careful and rational.

Abstract Format

html

Language

English

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Embargo Period

6-6-2021

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