Investigation and Analysis of Nascent and Emerging Economies Based on Herding Behavior Models

The purpose of this research is to investigate the Herding behavior model of investors in investment decisions in the Indonesian capital market, which is influenced by the social and informational effects affecting the book value of each share (BVPS). The latest stock market conditions show that most investors make the same mistakes in investment decisions that lead to losses. This study includes two independent variables, namely information about BVPS and social impact. In this study, the experimental method of ۲x۲ factorial design was used. Data collection was done by processing a sample of ۱۰۰ individual investors in the Indonesian Stock Exchange. To test the effect of the independent variable on the dependent variable, two-way univariate analysis of variance (ANOVA) was used. The results of the research showed that the social impact caused by expert investors is more influential than the impact of book value per share (BVPS) information on the behavior of Herding investors in making investment decisions. These findings show that if investors know their psychological factors, their self-control skills and investment analysis will increase. Further research can use psychological bias and other related accounting information indicators such as earnings per share (EPS) to investigate crowd behavior in capital market investment decision making .

کلیدواژه ها:

Herding ، Investment decision ، Social effects ، BVPS ، Empirical investigation