Abstract:
Purpose
The research aims to study the role played by big five personality traits in the investment
choices made by an individual in the specific context ofPakistan.
Methodology & Design
The research methods are formed considering the objectives ofthe research and ease of
collection of data. Therefore, the deductive approach, explanatory study and primary
sources are used to conduct this research. A sample size of 450 was selected where 384
respondents responded using convenience sampling method. In addition, the findings
have mainly been reached by utilization ofquantitative data analysis tools.
Findings
Overall, the research has led to the findings that there is a significant impact of big five
personalityfactors on individual behavior and decision making. Conversely, these affect
the investment decision making and perceived investment performance in Pakistan
significantly as well highlighting the importance ofpersonality in the financial markets of
Pakistan.
Limitations
® Small sample size of450 respondents, valid responses 384.
® Restricted to Pakistan
• As researcher belonged to Karachi hence questionnaire was emailed to investors
across Pakistan whereby most respondents belonged to Karachi being most
proactive city in terms ofofficial investments.
o Upsetting investment conditions in Pakistan restricted individual responses
• Limited resources and time available to conduct the research.
• As ci student, first comprehensive research was conducted.
Recommendations
The recommendations made in the research are illustrated below:
• Investors are recommended to control their personality instincts and make
investment decisions rationally.
9 Regulators are recommended to consider the personality ofindividual investors in
their respective market while forming the market policies so that these policies
accompany the investors' personality.
