D.B.A. Baker College (Michigan), 2021.
Specialization: Business administration; Accounting; Finance
Investor investment choices for better decision-making among investment options
151 pages. UMI #: 28715408
Citation, Abstract & Full text in ProQuest Dissertations & Theses Database
There is a problem in society regarding individual investing. That problem is how investors can decide where to invest their money when there are many viable options that are not clearly explained or that the investor does not understand. The purpose of this qualitative case study was to explore the decision-making process of investors when choosing among investments such as stocks, bonds, mutual funds, index funds, savings, children’s education, and retirement plans, to name a few, and how it be beneficial to them in the future. The theoretical framework that supported this qualitative case study was constructed from Markowitz’s modern portfolio theory, Kahneman & Tversky’s prospect theory, Goleman’s five components of emotional intelligence (1995), and Mayer and Salovey’s (1990) four branch model of emotional intelligence. The research questions developed for this study focused on what factors influence individual investors when deciding upon an investment option, what informational sources individual investors use to make informed investment decisions, what investors do not understand when choosing investment options, and what investors need to do to make better-informed investment decisions. Interviews were conducted with a convenience sample of 12 private investors selected from the Cleveland Investment group and from the Cincinnati Investment Group research population who responded to the request to participate in the study. The results indicated there was an ample learning opportunity for investors in various forms—portfolio management, accounting, investment analysis, and emotional intelligence management—to help them make better-informed decisions when making investment choices. Financial planners could benefit from the results by working with investors to meet their investment goals.