The Change of Investment Behavior during Covid-19 Pandemic in Indonesia Stock Market

Komalasari, Farida; Manik, Lucia Elshadai Lastria Monita; Ganiarto, Eko

doi:10.4108/eai.9-10-2020.2304782

Cited by 4 publications

(4 citation statements)

References 12 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…In other words, during the pandemic both male and female act more sensitive to risk or take actions that reduce risk in investing, especially investing in stocks. These results are in line with the results of research conducted by Komalasari, Manik and Ganiarto (2020). In their research, they concluded that there is a significant difference in investors' perceived risk before and during the Covid-19 pandemic, where investors considered risk (reducing risk) during the pandemic compared to before the pandemic.…”

Section: Resultssupporting

confidence: 81%

The Difference in Perceived Risk by Gender Among Novice Investors: before and during Covid-19 Pandemic

Ganiarto

Komalasari

2022

Sriwijaya Int. J. of Dynamic Eco. And Buss.

Self Cite

View full text Add to dashboard Cite

Understanding of risk is very important for investors, especially for novice investors. Their perception about risk, whether for male or female novice investor is interesting to study. Likewise, in the current Covid-19 pandemic situation, analyzing the differences in the perceived risk between the two is interesting also to do, since it determines their investment behavior. At the end, their investment behavior will affect the economic condition. This quantitative study aims to know whether there are any differences in perception of investment risk between male and female novice investors, both before and during the Covid-19 pandemic. Beside that, this study also examines the interaction between gender and other demographic factors (age, education, occupation and income) to differentiate perceived risk, both before and during Covid-19 pandemic. The perceived risk variable used in this study was measured using five statement indicators. Data were obtained from 299 novice investor respondents in the Indonesian Stock Exchange in 2020, then processed and analyzed using the paired t-test for the mean difference method. The results showed that there were differences in perceived risk between male and female investors in the period before the Covid-19 pandemic. Meanwhile, during the Covid-19 pandemic, there was no difference between the two. Beside that there was a difference in perceived risk of male/female between before and during the Covid-19 pandemic. Meanwhile, age and occupation were the factors that differentiate perceived risk, especially before Covid-19 pandemics, while education, and income are not.

show abstract

Section: Resultssupporting

confidence: 81%

The Difference in Perceived Risk by Gender Among Novice Investors: before and during Covid-19 Pandemic

Ganiarto

Komalasari

2022

Sriwijaya Int. J. of Dynamic Eco. And Buss.

Self Cite

View full text Add to dashboard Cite

show abstract

“…Financial markets experienced a liquidity crisis during the outbreak – investors had trouble selling their assets quickly without heavy losses. This can lead to a higher cost of capital because investors require a higher return on their investments to compensate for the liquidity risk (Komalasari et al , 2021; Nguyen et al , 2021).…”

Section: Literature Review and Hypotheses Developmentmentioning

confidence: 99%

Cost of capital and firm performance of ESG companies: what can we infer from COVID-19 pandemic?

Tanjung

2023

SAMPJ

View full text Add to dashboard Cite

Purpose Studies on sustainable finance examine how it is interrelated with economic, social, governance and environmental issues. Using financial data on publicly traded firms in Indonesia, this study aims to explore the interplay between the cost of capital, firm performance and the COVID-19 pandemic. Design/methodology/approach This study uses firm-level data sets of publicly listed firms from 2012 to 2021. The regression analysis reported in the study includes the Driscoll–Kraay estimator, propensity score matching model and fixed-effects regression. Findings The study revealed three significant findings. First, on average, non-environmental, social and governance (ESG) companies’ cost of capital is lower than that of ESG firms. Second, ROE in ESG enterprises is significantly impacted by capital costs. Third, the cost of capital has a negative impact on the market value (Tobin’s q) of non-ESG firms. The study specifically shows that after accounting for the pandemic, ESG firms did not benefit during the troubled COVID-19 crisis after controlling for the pandemic dummy years of 2020 and 2021. These results indicate that the adoption of green or sustainable finance is still in its infancy and that the sector requires more time to establish an enabling environment. Research limitations/implications This study benefits from capital structure and ESG theories. It supports the argument that the debt utilization ratio is still relevant to a company’s value because it affects its financial performance. Moreover, adopting ESG principles helps businesses survive crises. Thus, the analysis confirms the superiority of ESG-based firms. Practical implications This study draws two conclusions. First, the results could be a reference for academics and practitioners to understand the effect of pandemic-related crises on a firm’s capital structure and performance. In terms of survival during a crisis, such as the COVID-19 pandemic, this study demonstrates how firms with strong ESG may perform differently than those without ESG. Second, this study supports the need for an empirical study and examination of the development of sustainable finance in the country while considering setbacks. Social implications The results should be of interest to policymakers who focus on the ESG market and academics conducting ESG-related research on emerging markets. Originality/value This study contributes to the literature by establishing empirical evidence on the relationship between the cost of capital and firm performance of ESG- and non-ESG-rated enterprises in the Indonesian setting while controlling for the impact of the pandemic.

show abstract

“…Pandemi memengaruhi kondisi kesehatan, sosial, dan ekonomi dunia karena timbulnya ketidakpastian global. Kekhawatiran investor terkait ketidakpastian global akibat Covid-19 membuat investor lebih berhati-hati dalam membuat keputusan dan mengurangi aktivitas investasi (Komalasari et al, 2021). Hal ini berpengaruh kepada seluruh pasar modal di dunia yang mengalami penurunan kinerja secara signifikan, termasuk pasar modal di Indonesia.…”

Section: Pendahuluanunclassified

Dampak Sentimen Investor Dan Bi7drr Terhadap Prediksi Pergerakan Ihsg Pada Masa Pandemi Covid-19 Tahun 2020

Ainaya,

2022

AKTUAL

View full text Add to dashboard Cite

Sentimen investor dan BI7DRR adalah salah satu acuan yang digunakan investor untuk melihat pergerakan pasar modal. Adanya pandemi menyebabkan dunia mengalami ketidakpastian global. Dengan adanya sosial media informasi dapat dengan cepat diperoleh. Penelitian ini bertujuan untuk mengetahui dampak sentimen investor dan BI7DRR terhadap pergerakan IHSG pada masa pandemi Covid-19 tahun 2020. Data yang digunakan merupakan hasil analisis sentimen dari tweets mengenai IHSG pada masa pandemi Covid-19 tahun 2020 dan BI7DRR yang dikeluarkan oleh Bank Indonesia selama tahun 2020. Alat analisis yang digunakan adalah Analisis Logistik Biner. Penelitian ini menghasilkan bahwa penambahan sentimen investor dan BI7DRR pada model meningkatkan ketepatan prediksi pergerakan IHSG. Sentimen investor berpengaruh positif terhadap pergerakan IHSG, namun pengaruhnya tidak signifikan secara statistik. Sedangkan BI7DRR berpengaruh negatif terhadap pergerakan IHSG, namun pengaruhnya tidak signifikan secara statistik. Kata kunci: sentimen, BI7DRR, IHSG Abstract Investor sentiment and BI7DRR are one of the references used by investors to see the movement of the capital market. The existence of a pandemic has caused the world to experience global uncertainty. With the existence of social media information can be quickly obtained. This study aims to determine the impact of investor sentiment and BI7DRR on the movement of JCI during the Covid-19 pandemic in 2020. The data used is the result of sentiment analysis from tweets about the JCI during the Covid-19 pandemic in 2020 and the BI7DRR issued by Bank Indonesia during 2020. The analysis tool used is Binary Logistics Analysis. This research resulted in the addition of investor sentiment and BI7DRR to the model increasing the accuracy of JCI movement predictions. Investor sentiment has a positive effect on JCI's movement, but its effect is not statistically significant. While the BI7DRR negatively affects the movement of the JCI, but its effect is not statistically significant. Keywords: sentiment, BI7DRR, JCI

show abstract

The Change of Investment Behavior during Covid-19 Pandemic in Indonesia Stock Market

Cited by 4 publications

References 12 publications

The Difference in Perceived Risk by Gender Among Novice Investors: before and during Covid-19 Pandemic

The Difference in Perceived Risk by Gender Among Novice Investors: before and during Covid-19 Pandemic

Cost of capital and firm performance of ESG companies: what can we infer from COVID-19 pandemic?

Dampak Sentimen Investor Dan Bi7drr Terhadap Prediksi Pergerakan Ihsg Pada Masa Pandemi Covid-19 Tahun 2020

Contact Info

Product

Resources

About