Perceptions and Experiences of Beginner Investors In Making Investment Decisions in The Digital Era: A Qualitative Study of Investment Application Users
Main Article Content
Muhammad Faried Pratama
Rachmawati
Rince Tambunan
The rapid development of digital financial technology has significantly transformed investment activities by providing easier access to financial markets through digital investment applications. This study aims to explore the perceptions and experiences of beginner investors in making investment decisions in the digital era. Using a qualitative research approach with a phenomenological perspective, data were collected through semi-structured interviews with beginner investors who actively use digital investment applications. The collected data were analyzed using thematic analysis to identify patterns and themes related to investors’ experiences and decision-making processes. The findings reveal that investment decision-making among beginner investors is influenced by several interconnected factors, including the accessibility and usability of digital investment platforms, the influence of social media and online communities, the development of financial literacy, and psychological experiences related to investment gains and losses. Digital investment applications play a crucial role in lowering barriers to market participation by providing user-friendly interfaces and accessible financial information. However, reliance on social media as a source of investment information may also expose investors to misinformation and speculative investment behavior. In addition, emotional responses such as confidence, fear, and uncertainty often influence investment decisions among beginner investors. Overall, the study highlights that investment decision-making in the digital era is a multidimensional process shaped by technological accessibility, social influence, financial knowledge, and psychological factors. These findings contribute to a deeper understanding of investor behavior in digital financial environments and emphasize the importance of financial education and responsible investment practices.
Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T
Arner, D. W., Barberis, J., & Buckley, R. P. (2016). The evolution of fintech: A new post-crisis paradigm. Georgetown Journal of International Law, 47(4), 1271–1319. https://doi.org/10.2139/ssrn.2676553
Banerjee, A. V. (1992). A simple model of herd behavior. The Quarterly Journal of Economics, 107(3), 797–817. https://doi.org/10.2307/2118364
Barber, B. M., & Odean, T. (2001). Boys will be boys: Gender, overconfidence, and common stock investment. The Quarterly Journal of Economics, 116(1), 261–292. https://doi.org/10.1162/003355301556400
Bikhchandani, S., Hirshleifer, D., & Welch, I. (1992). A theory of fads, fashion, custom, and cultural change as informational cascades. Journal of Political Economy, 100(5), 992–1026. https://doi.org/10.1086/261849
Braun, V., & Clarke, V. (2006). Using thematic analysis in psychology. Qualitative Research in Psychology, 3(2), 77–101. https://doi.org/10.1191/1478088706qp063oa
Creswell, J. W., & Creswell, J. D. (2018). Research design: Qualitative, quantitative, and mixed methods approaches (5th ed.). Sage Publications.
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319–340. https://doi.org/10.2307/249008
Financial Services Authority (OJK). (2024). Indonesian capital market statistics 2024. Jakarta: Otoritas Jasa Keuangan. https://www.ojk.go.id
Gefen, D., Karahanna, E., & Straub, D. W. (2003). Trust and TAM in online shopping: An integrated model. MIS Quarterly, 27(1), 51–90. https://doi.org/10.2307/30036519
Guest, G., Bunce, A., & Johnson, L. (2006). How many interviews are enough? An experiment with data saturation and variability. Field Methods, 18(1), 59–82. https://doi.org/10.1177/1525822X05279903
Indonesia Stock Exchange (IDX). (2024). IDX statistics 2024: Retail investor growth and capital market participation. Jakarta: Indonesia Stock Exchange. https://www.idx.co.id
Kahneman, D., & Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica, 47(2), 263–291. https://doi.org/10.2307/1914185
Kallio, H., Pietilä, A. M., Johnson, M., & Kangasniemi, M. (2016). Systematic methodological review: Developing a framework for a qualitative semi-structured interview guide. Journal of Advanced Nursing, 72(12), 2954–2965. https://doi.org/10.1111/jan.13031
Lee, I., & Shin, Y. J. (2018). Fintech: Ecosystem, business models, investment decisions, and challenges. Business Horizons, 61(1), 35–46. https://doi.org/10.1016/j.bushor.2017.09.003
Lincoln, Y. S., & Guba, E. G. (1985). Naturalistic inquiry. Sage Publications.
Lusardi, A., & Mitchell, O. S. (2014). The economic importance of financial literacy: Theory and evidence. Journal of Economic Literature, 52(1), 5–44. https://doi.org/10.1257/jel.52.1.5
Moustakas, C. (1994). Phenomenological research methods. Sage Publications.
Nowell, L. S., Norris, J. M., White, D. E., & Moules, N. J. (2017). Thematic analysis: Striving to meet the trustworthiness criteria. International Journal of Qualitative Methods, 16(1), 1–13. https://doi.org/10.1177/1609406917733847
Orb, A., Eisenhauer, L., & Wynaden, D. (2001). Ethics in qualitative research. Journal of Nursing Scholarship, 33(1), 93–96. https://doi.org/10.1111/j.1547-5069.2001.00093.x
Patton, M. Q. (2015). Qualitative research & evaluation methods (4th ed.). Sage Publications.
Rogers, E. M. (2003). Diffusion of innovations (5th ed.). Free Press.
Shefrin, H. (2007). Behavioral corporate finance: Decisions that create value. McGraw-Hill.
Shiller, R. J. (2017). Narrative economics. American Economic Review, 107(4), 967–1004. https://doi.org/10.1257/aer.107.4.967
Statman, M. (2019). Behavioral finance: The second generation. CFA Institute Research Foundation. https://doi.org/10.2470/rf.v2019.n3.1
Thaler, R. H. (1999). Mental accounting matters. Journal of Behavioral Decision Making, 12(3), 183–206. https://doi.org/10.1002/(SICI)1099-0771(199909)12:3
Venkatesh, V., Thong, J. Y. L., & Xu, X. (2012). Consumer acceptance and use of information technology: Extending the unified theory of acceptance and use of technology. MIS Quarterly, 36(1), 157–178. https://doi.org/10.2307/41410412
