Title

Individual investor preferences: A segmentation analysis

Document Type

Journal Article

Publisher

Lawrence, Erlbaum Associates/Taylor & Francis

Faculty

Business and Public Management

School

Accounting, Finance and Business Economics

RAS ID

2959

Comments

This article was originally published as: Clark-Murphy, M., & Soutar, G. (2005). Individual investor preferences: A segmentation analysis. Journal of Behavioral Finance, 6(1), 6-14. Original article available here

Abstract

As the baby boomers age, individuals are being encouraged to take responsibility for their retirement income. Despite the importance of individual investment decisions, we know very little about what factors influence them. Having identified characteristics that are important to individual investors in shares using a conjoint analysis approach, this study uses cluster analysis and discriminant analysis to look for subgroups with differing attitudes and approaches to investment alternatives. Results suggest that four significant subgroups exist within the investor sample, each with different investment preferences and goals. The results have implications for providers of financial services and for those involved in educating individual investors.

DOI

10.1207/s15427579jpfm0601_2

 

Link to publisher version (DOI)

10.1207/s15427579jpfm0601_2