The Effect of Financial Literacy on Investment Decision Making in Southern Lebanon
- Hassan Alaaraj 1
- Ahmed Bakri 1
-
1
Lebanese International University
info
ISSN: 2550-0368, 2549-0303
Argitalpen urtea: 2020
Alea: 4
Zenbakia: 1
Orrialdeak: 37-43
Mota: Artikulua
Beste argitalpen batzuk: International Business and Accounting Research Journal
Laburpena
This study examines the effect of financial Literacy on investment decision making among investors in South Lebanon. Financial literacy is expressed in terms of knowledge and awareness while investors‟ decision-making is described as the act of investors and the way they interpret, anticipate, investigate, and assess the steps and transaction for decision making. This includes investment risk, investment decision model and process. To achieve the research objective, a quantitative approach was applied in which 150 self-administered questionnaires were collected using convenience sampling. The sample includes customers of four different Banks in South Lebanon. The data was analyzed using SPSS software. Descriptive statistics were identified and proposed hypotheses were tested using Pearson correlation and multi-regression analysis. Results showed a positive significant relationship between financial literacy and investment decision making. Future studies are encouraged to expand the research to other regions in Lebanon over a longer time horizon in addition to applying other variables.
Erreferentzia bibliografikoak
- Chebib, N., Dagher, W. & Atala, I. A., 2016. Foreign Direct Investment in Lebanon. International Journal of Economy, Management and Social Sciences, 9, 5(3), p. 13.
- Akims, M. A. & Jagongo, A., 2017. Financial Literacy and Its Impact on Investment Decisions in Nigeria: A Theoretical Perspective. International Journal of Scientific Research and Innovative Technology, Volume 4, pp. 2313-3759.
- Amisi, S., 2012. The Effect of Financial Literacy on Investment Decision Making By Pension Fund Managers in Kenya, kenya: University of Nairobi .
- Anon., 2015. Private Sector Startegy , Beirut: UNDP.
- Anon., n.d. Economic Development and Reconstruction, s.l.: s.n.
- Atala, I., Dagher , W. & Chebib, N., 2016. Foreign Direct Investment in Lebanon. International Journal of Economy, Management and Social Sciences, 5(3), pp. 39-51.
- Avram, L. E. et al., 2009. Investment Decision and Its Appraisal. DAAAM & Proceedings, 20(1), pp. 1905- 1906.
- Awais, M., Laber, M. F., Rasheed, N. & Khursheed, A., 2016. Impact of Financial Literacy and Investment Experience on Risk Tolerance and Investment Decisions: Empirical Evidence from Pakistan. International Journal of Economics and Financial Issue , pp. 73-79.
- Ayieko, F., 2004. Boom in Apartment Blocks Transforming Nairobi Suburbs. The East African, pp. 14-15.
- Bowen, C. F., 2002. Financial Knowledge Of Teens And Their Parents. Financial Counseling and Planning, 13(2), pp. 93-101.
- Brown, K., Gallery , G. & Gallery, N., 2001. Informed superannuation choice: constraints and policy resolutions. Economic Analysis & Policy, 32(1), pp. 71-90.
- Chbeir, R., 2019. A Historical Analysis of Lebanon’s Public Debt, Beirut : BLOMINEST BANK.
- Edirisinghe, Keerthipala & Ama, 2017. Financial Literacy and Financial Behavior of Management Undergraduates of Sri Lanka. Australia, Sabaragamuwa University of Sri Lanka.
- Gill, S., Khurshid, M. K., Shahid, M. & Arfan, A., 2008. Factors Effecting Investment Decision Making Behavior: The Mediating Role of Information Searches. European Online Journal of Natural and Social Sciences, 7(4), pp. 758-767 .
- Hajjar, N. & Takieddine, M., 2017. Lebanon Investment and Business Guide, Beirut: FRANSABANK.
- Hawti J. et al. (2016) financial literacy and investment decisions in Malaysia and United
- Kingdom: A comparative analysis, Malaysian Journal of Society and Space, 12(2), 106-118, ISSN 2180- 2491
- Huston, S. J., 2010. Measuring Financial Literacy. The Journal Of Consumerr Affairs, Volume 44, pp. 296- 316.
- Kim, J. et al., 1999. Workplace Financial Education Improves Persnal Financial Wellness. Financial Counseling and Planning, Volume 10, pp. 79-88.
- Lusardi, A. & Tufano, P., 2009. Debt Literacy, Financial Experiences, and Over indebtedness , Cambridge: NATIONAL BUREAU OF ECONOMIC RESEARCH.
- Madi, A. & Yusof, R. M., 2018. Financial Literacy and Behavioral Finance: Conceptual Foundations and Research Issues. Journal of Economics and Sustainable Development, Volume 9, pp. 2222-2855.
- McArdle, J. J., James , S. P. & Willis, R., 2009. Cognition and Economic Outcomes in the Health. IZA DP, Issue 4269, pp. 1-32.
- Monika C. (2014), Quality of the financial literacy survey, International Journal of Interdisciplinary in Theory and Practice, ITPB-NR.: 5, ISSN 2344 – 2409.
- Mouzi, S., n.d. Investment Opportunities in Lebanon, s.l.: Embassy of Lebanon.
- Mugo, E., 2016. Effect of Financial Literacy on Investment Decisions among Savings and Credit Co-Operative Societies Members in Nairobi, s.l.: KCA University. Hassan Alaaraj, et al. / International Business and Accounting Research Journal 4 (1) (2020) 43
- Mugo, E., 2016. Effect of Financial Literacy on Investment Decisions among Savings and Credit Co-Operative Societies Members in Nairobi, Nairobi: KCA University.
- Muizzuddin, et al., 2017. Financial Literacy; Strategies and Concepts in Understanding the Financial Planning With Self-Efficacy Theory and Goal Setting Theory of Motivation Approach. International Journal of Economics and Financial Issues, pp. 182-188.
- Musundi , K. M., 2014. The Effects of Financial Literacy on Personal Investment Decisions in Real Estate in Nairobi County, s.l.: s.n.
- Mutswenje, V. S., 2014. A Survey of the Factors Influencing Investment Decisions: The Case of Individual Investors at the NSE. International Journal of Humanities and Social Science, 4(4), pp. 92-102.
- OECD INFE (2011) Measuring Financial Literacy: Questionnaire and Guidance Notes for conducting Internationally Comparable Survey of Financial literacy. Paris: OECD.
- Palm, C., 2014. Financial literacy and superannuation investment decision-making in a choice environment:, s.l.: Queensland University of Technology.
- Puškaa, A., Šadić, S. & Beganović, A., 2018. Model for Investment Decision Making by Applying the Multi-Criteria Analysis Method. Serbian Journal of Management, 13(1), pp. 7-28.
- Remund, D. L., 2010. Financial Literacy Explicated: The Case for a Clearer Definition in an Increasingly Complex Economy. The Journal of Consumer Affairs, 44(2), pp. 276-295.
- Shipho, T. M., 2011. Effects of Banking Sectorial Factors on the Profitability of Commercial Banks in Kenya. Economics and Finance Review, Volume 1, pp. 1-30.
- Starcek, S. & Trunk, A., 2013. The meaning and concept of financial education in the society of economic changes. Croatia, ResearcgGate.
- Virlicsa, A., 2013. Investment Decision Making and Risk. Procedia Economics and Finance, p. 169 – 177.
- Vraciu, R. A., n.d. Decision Models for Capital Investment and Financing Decisions in Hospitals. 3ealth Services Research, pp. 36-52.
- Zait, A. & Bertea, P. E., 2014. Financial Literacy – Conceptual Definition and Proposed Approach for a Measurement Instrument. Journal of Accountinng Management, 4(3), pp. 37-42