Factors Influencing Malaysian University Students' Investment Decisions in the Capital Market: Barriers

Abstract

This study aims to investigate the factors influencing Malaysian University students’ investment decisions in capital market. This study analyses different variables including financial literacy, risk appetite, accounting information, investment experience, using the Theory of Planned Behaviour (TPB). This study is a study using quantitative approach and uses primary data to gather first-hand responses. Data were collected from distributing questionnaires to the target population for this study who are Malaysian university students and 160 responses were collected. This research use SPSS Statistics v27 to reveal the correlation among the predictor variables. Results indicate that financial literacy and risk appetite significantly influence investment decision in capital market, while accounting information, investment experience do not. The study acknowledges limitation related to limitations in gathering and analysis of primary data, limitation of sample size, representation and variables and reliance on self-reported. In conclusion, this research offers valuable overview for the regulatory bodies better comprehend university students’ investment decision and formulate initiatives and strategies that are appropriate and encourage new policies or programs for university students to actively and engage in the capital market investments.