Impact Of Cognitive Factors On Financial Behavior With MediatingRole Of Financial Anxiety

Abstract

The aim of this study is to examine the impact of cognitive factors on financial behavioral with moderating role of financial anxiety. Dependent variable is financial behaviour and other explanatory factors are Self-esteem, Financial Knowledge, and Self-Control. The Study also used mediating factor i.e. financial anxiety. The data was collected in this study by using questionnaires from the investors of Pakistan. In this study Sample size consist on 250 Pakistan Investors. This study was used the simple random technique to collect the data. The five Likert scales are used to measure variables. The study used tools of analysis i.e. reliability, correlation, descriptive summary and regression analysis. The association among financial behavior and self-esteem is positive with financial decisions. Study also founded that financial anxiety, is associated positively by investors but it is for sure that it does mediate between cognitive factors and financial behavior. This study can use investors, policymakers, researchers, students, and investment decision managers or for all people whose financial behavior we measure in this study is implacable for those. In future time period the researchers can further expand by using various other psychological factors as well as behavioral factors that are having a significant impact on decision making of investors.