Mood, Demographics, and Investment Behaviour: A Conditional Process Analysis

Raden Dian Hardiana, Farhan Zakariyya, Rika Mardiani, Imas Purnamasari, Nugraha Nugraha

Abstract


This study aims to examine the effect of mood on investment decisions and the moderating roles of gender and educational level. Using a quantitative approach with 135 respondents, data were analysed through moderation regression with PROCESS Hayes Model 2. The findings reveal that mood has a positive and significant effect on investment decisions in the baseline condition, namely female respondents with low educational attainment (B = 0.539; p = 0.005). However, the interactions between mood × gender (B = −0.508; p = 0.027) and mood × education (B = −0.317; p = 0.007) are significant, indicating that the effect of mood on investment decisions varies by gender and educational level. Conditional effect analysis shows that the positive effect of mood diminishes at higher educational levels and even reverses to negative among males with medium to high education. These findings highlight that psychological and demographic factors simultaneously moderate the relationship between mood and investment decisions. This study contributes to the behavioural finance literature by emphasising the importance of demographic and cognitive capacity variables in understanding the role of emotions in financial decision-making.

Keywords


Mood; Investment Decision; Demographic; Gender; Education Level.

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References


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DOI: https://doi.org/10.17509/jpak.v14i2.103145

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