Impact of Financial Literacy on the Behavioral Biases of Individual Stock Investors: Evidence from Borsa Istanbul

ATEŞ S., ÇOŞKUN A., ŞAHİN M. A., DEMİRCAN M. L.

İşletme ve Ekonomi Araştırmaları Dergisi, cilt.7, sa.3, ss.1-19, 2016 (Hakemli Dergi) identifier

  • Yayın Türü: Makale / Tam Makale
  • Cilt numarası: 7 Sayı: 3
  • Basım Tarihi: 2016
  • Dergi Adı: İşletme ve Ekonomi Araştırmaları Dergisi
  • Derginin Tarandığı İndeksler: TR DİZİN (ULAKBİM)
  • Sayfa Sayıları: ss.1-19
  • Galatasaray Üniversitesi Adresli: Evet

Özet

Financial literacy and behavioral biases are critical factors affecting the financial decisions and behaviors of investors. We survey 596 individual stock investors to measure their financial literacy, to examine their behavioral biases and to investigate the relationship between financial literacy and behavioral biases. Results suggest that around half of the investors have a low financial literacy level, their main source of financial information is advice from parents or friends, and they have a high level of behavioral biases. While some of these behavioral biases are independent of the level of financial literacy, there is a significant relationship between a number of other biases and the level of financial literacy.