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Impact of Investor Biases on Investment Decisions of Investors: Evidence from Pakistan

Thesis Info

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Author

Rahim, Adeel

Program

PhD

Institute

University of Peshawar

City

Peshawar

Province

KPK

Country

Pakistan

Thesis Completing Year

2019

Thesis Completion Status

Completed

Subject

Management Sciences

Language

English

Link

http://prr.hec.gov.pk/jspui/bitstream/123456789/10641/1/Adeel_Rahim_Manage_Sci_Finance_2019_UoP_Peshawar_18.07.2019.pdf

Added

2021-02-17 19:49:13

Modified

2024-03-24 20:25:49

ARI ID

1676724769265

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This dissertation studies the impact of investor biases on investment decisions of Pakistani stock investors. Investors take many investment decisions in stock market on daily basis but could not avoid investor biases which they are facing during this decision-making process. For this researcher carried this study and had two primary aims; first to analyze the impact ofinvestor biases on investment decisions of Pakistan stock investors and second to find which of investor biases have high, moderate, low, positive or negative, statistically significant and insignificant impact on investment decision making .The study will use Kahneman & Tversky (1979) Prospect theory as the main theoretical framework, for analyzing impact of four investor biases such as : Overconfidence bias, conservatism bias, herding effect bias and availability bias on investment decisions of investors. The study applied a mixed method approach. Quantitative data was collected through a well-defined adopted questionnaire from the respondents selected through Stratified random sampling technique. In first stage, piloting was done on the sample of 50 respondents to shortlist best questions in the questionnaire who could answer all the research questions raised in the study. After piloting and refining of questionnaire a questionnaire survey was carried out by the researcher and administered to over 462 (77% response rate) stock investor of Pakistan stock exchange (PSX) branches such as : Karachi Stock Exchange(KSE), Lahore Stock Exchange(LSE) and Islamabad Stock Exchange(ISE) on the basis of Stratified random sampling technique. After that, quantitative data was analyzed by using IBM SPSS 21 statistical software. This data analysis was carried out in two sections namely; pre and post to find the impact of different investor biases on the investment decision of Pakistani stock investors. Both descriptive and exploratory analysis were done to determine the impact of these variables in pre and post analysis. The main variables were overconfidence bias, conservatism bias, herding effect bias and availability bias consisting of seven, six, seven and six sub variables respectively. After that, qualitative data analysis was carried out through interviews technique and then through thematic analysis technique. Findings of both quantitative and qualitative data analysis in this study revealed that investor biases have different level of impact on investment decisions of PSX investors and results shows that they have statistical significance and insignificant impact, positive and negative impact, high, moderate and low impact on investment decisions of PSX investors.
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53. An-Najm/The Star

53. An-Najm/The Star

I/We begin by the Blessed Name of Allah

The Immensely Merciful to all, The Infinitely Compassionate to everyone.

53:01
a. By the star when it sets.

53:02
a. Your companion who has lived amongst you for forty years is neither strayed nor is he deluded,
53:03
a. nor does he speak out of his own personal desire with regard to what he recites to you of The Qur’an,
53:04
a. that which he conveys to you - The Qur’an - it is nothing but a Divine Revelation, being
revealed on to him.

53:05
a. Taught to him by the One of Awesome in Power,

53:06
a. Full of wisdom.
b. HE stood poised,

53:07
a. while HE was on the highest part of the horizon.

53:08
a. Then HE drew near and came close,

53:09
a. so much so that it was left only a space of the strings of two bows – facing each other, surrounding him in all directions - or even closer than that.
53:10
a. So HE revealed on to HIS Servant Muhammad whatever HE revealed.

53:11
a. The Prophet’s heart did not lie about what it saw.
b. He neither perceived it as an illusion nor was it a hallucination.
c. It was a reality.

53:12
a. Are you, then, going to argue with him what he saw?

53:13
a. And, certainly, he saw HIM yet again at another time, too,

53:14
a. by the Lote Tree of the Extremity,

53:15
a. close to which is the...

حضرت ہندہ رضی اللہ عنہا سے متعلق تاریخی روایات کا تحقیقی جائزہ

Some Historians have blamed on Hadrat Hind (R.A) that she mutilated the corpse and chewed the liver of Hadrat Hamza (R.A), which is the cruelty of a specific group of the opponents of Companions. But the Text Book Board of KPK has included exactly these narrations in the curriculum of Urdu compulsory of fifth class. Firstly, this incident was happened before accepting Islam, and when she accepted Islam then there is no blame can be raised upon her on this incident. But definitely, these narrations impact the mind of children. It was necessary to test the authenticity of these narrations before including in curriculum. In this article, some Historical narrations regarding Hadrat Hind (R.A) have been chosen, and some authentic narrations from Ahadith Books have been presented in order to reject these Historical narrations in a scholarly manner.

Nonlinear Dynamics of Large-Scale Vortical Motions in Electron-Positron Plasmas and Other Multiple Components Plasmas

The possibility of zonal flows generation by low-frequency waves in magnetized space and laboratory plasmas is studied. Namely the zonal flows generation in the Earth’s ionospheric E- and F-layers by Rossby waves and in electron-positron-ion (EPI) plasmas by electrostatic drift waves is investigated. The modified parametric approach is used considering the arbitrary spectrum of primary modes. The driving forces of zonal flows are Reynolds stresses. An important nonlinear mechanism for the transfer of spectral energy from small-scale pumping waves to large-scale enhanced zonal flows (inverse cascade) is investigated. The dynamics of Rossby waves in the electrically conducting ionospheric layers strongly depends on the interaction of inductive currents with the geomagnetic field. Such interaction in the ionospheric E-layer due to the prevalent effect of Hall conductivity gives rise to, so called magnetized Rossby (MR) waves to be propagating. But in the ionospheric F-layer, under such interaction dissipation arises due to Pedersen conductivity acting as the inductive (magnetic) inhibition. Modified by the interaction of inductive currents with the geomagnetic field Charney equation is used as the basic nonlinear equation. Considering comparatively short-scale perturbations only vector nonlinearity is responsible for the coupling between different modes in Charney equation. The nonlinear interaction of short-scale pump Rossby waves, two satellites of the pump waves (side-band waves) and a large-scale shear zonal flow is studied. Propagating in the ionospheric E-layer MR waves do not significantly perturb the geomagnetic field. Zonal flow dispersion relation for an arbitrary spectrum of MR waves is obtained. Monochromatic and non-monochromatic wave packets of primary modes are discussed. In the case of monochromatic wave packet the instability is of the hydrodynamic type. It is found that the broadening of the wave packet spectrum of pump MR waves leads to a resonant interaction with a growth rate of the order of the monochromatic case. In the case when zonal flow generation by MR modes is prohibited by the Lighthill stability criterion, the so-called two-stream-like mechanism for the generation of sheared zonal flows by finite-amplitude MR waves in the ionospheric E- layer is possible. The growth rates of zonal flow instabilities and the corresponding conditions are determined. The possibility of zonal flow generation and appropriate distinctive properties are revealed when Rossby waves are propagating through the dissipative ionospheric F-layer. To describe the nonlinear propagation of electrostatic drift waves the generalized Hasegawa-Mima (HM) equation containing one vector (Jacobian) and two scalar nonlinearities of different nature for the case of EPI plasma is obtained. The drift waves are supposed to have arbitrary wavelengths (as compared with the Larmor radius of plasma ions at the plasma electron temperature). Temperature inhomogeneity of electrons and positrons is taken into account, while ions are considered to be cold. The new space structure of drift waves is obtained. Spatial increase of the linear plasma-potential perturbations in the direction of density and temperature inhomogeneities is shown. As long as under the zonal flow action different vortical structures can be maintained, possibility of the existence of drift vortical motions and the appropriate properties also are investigated in case of EPI plasma. It is shown that the vector nonlinearity is responsible for the existence of small-scale dipole-type solitary vortical structures. One of the scalar nonlinearities of KdV-type is responsible for the existence of the intermediate-scale vortical structures. The other scalar nonlinearity under the time derivative creates intermediate and large-scale monopole vortical structures and plays an essential role in different possibilities of zonal flows generation. It causes nonlinear interaction with vector and KdV-type nonlinearities and itself also. It is shown that the dynamics of low-frequency waves studied in usual electron-ion (EI) plasmas is generally modified in EPI plasmas. A new self-organization mechanism of formation of large-scale electrostatic drift vortical structures in EPI plasmas based on the competition between scalar and vector nonlinearities has been discussed. Generation of large-scale zonal flows by relatively small-scale electrostatic drift waves of arbitrary wavelength in a nonuniform EPI plasma is studied. To describe the generation of zonal flow the generalized Hasegawa-Mima equation containing both vector and two scalar (of different nature) nonlinearities is used. The system of coupled equations describing the nonlinear interaction of drift waves and zonal flows is derived. Enriched possibilities of zonal flow generation with different growth rates are revealed. Explicit expressions for the appropriate maximum growth rates are obtained. Obtained results may be useful to explain different observations on zonal flows and vortical motions in laboratory and astrophysical plasmas.