IDEAS home Printed from https://ideas.repec.org/h/spr/advbcp/978-94-6463-758-8_245.html

The Influence of Overconfidence, Considering the Past, and Social Interaction on Investment Decisions

In: Proceedings of the 9th International Conference on Accounting, Management, and Economics 2024 (ICAME 2024)

Author

Listed:
  • Rury Novita Sibulo

    (University Hasanuddin)

  • Darwis Said

    (University Hasanuddin)

  • Muhammad Irdam Ferdiansah

    (University Hasanuddin)

Abstract

This study investigates the influence of overconfidence, considering the past, and social interaction on investment decisions among investors in Makassar. Using a triangulation strategy, data was obtained through questionnaires filled out by investors and detailed interviews to reinforce the analytical outcomes. Findings indicate that overconfidence significantly impacts investment decisions; investors exhibiting higher levels of confidence tend to make more substantial and riskier investments, aligning with previous research suggesting that overconfident investors believe they possess superior information. Additionally, consideration of past experiences proved to be an important factor in decision-making, as investors use their prior investment outcomes as references to assess current risks and opportunities. Social interaction was also found to have a positive effect, where investors engaged in social networks are more likely to make informed decisions. The triangulation approach employed in this study provides consistent evidence between quantitative data from questionnaires and qualitative insights from interviews, enhancing the understanding of investment decision-making dynamics in Makassar. This study provides a deeper understanding of the dynamics of investment decision-making and emphasizes the importance of a comprehensive approach in analyzing investor behavior.

Suggested Citation

  • Rury Novita Sibulo & Darwis Said & Muhammad Irdam Ferdiansah, 2025. "The Influence of Overconfidence, Considering the Past, and Social Interaction on Investment Decisions," Advances in Economics, Business and Management Research, in: Mursalim Nohong & Fitra Roman Cahaya & Phung Minh Tuan & Arifuddin Mannan & Anas Iswanto Anwar & Ria (ed.), Proceedings of the 9th International Conference on Accounting, Management, and Economics 2024 (ICAME 2024), pages 2979-2991, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6463-758-8_245
    DOI: 10.2991/978-94-6463-758-8_245
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:advbcp:978-94-6463-758-8_245. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.