Abstract:

This current study was aimed to address the significant issue of the lack of financial literacy among Indonesian millennials, despite their active involvement in capital markets. Particularly, it examined the potential connections between financial literacy and self-control with the investment tendencies of this demographic in the Indonesian context. To this end, a survey was administered to 265 university students (78 males and 187 females) who attended an investment seminar at a private university in Jakarta, Indonesia. Using rigorous statistical analysis, specifically multiple regression analysis with PLS-SEM (Partial Least Squares Structural Equation Modeling) software, the data were analysed and a significant and positive relationship between financial literacy and the investment behaviors among Indonesian millennials. However, the study shows that millennials' self-control has a negative but statistically insignificant impact on their investment behavior. These results not only contribute to the existing body of knowledge but also provide fresh insights from a sample of young millennials in Indonesia. Furthermore, this study explores the intricate relationship between financial literacy and self-control concerning investment behavior. These findings have practical implications for educational institutions, financial practitioners, and policymakers. Educational institutions could incorporate financial literacy education into their curricula to equip young adults with necessary financial skills, while financial practitioners could refine their marketing strategies and provide educational resources tailored to financially literate millennials. Finally, the policymakers could use these findings as a reference to develop policies that enhance financial literacy among young people.

Keywords:

Investment, investment behaviour, millennials, financial literacy, self-control.

How to Cite:

Ummu Salma Al Azizah. Investment Behaviour Among Indonesian Millennials: The Roles of Financial Literacy and Self-control. [ref]: vol.22.2024. available at: https://refpress.org/ref-vol22-a52/