PSYCHOLOGY OF MUSLIM INVESTORS IN STOCK INVESTMENT DURING COVID-19 PANDEMIC

Purnama Ramadani Silalahi (Faculty of Islamic Economics and Business, State Islamic University of North Utara)
Muhammad Hafizh (Faculty of Islamic Economics and Business, State Islamic University of North Utara)
Salman Nasution (Faculty of Islamic Religion, University of Muhammadiyah Sumatera Utara)
Sugianto Sugianto (Faculty of Islamic Economics and Business, State Islamic University of North Utara)

Tazkia Islamic Finance and Business Review
Vol. 14 No. 1 (2020)

The main purpose of this study is to analyze and evaluate the psychology of Muslim investors in stock investments during COVID-19 pandemic. This research uses data collected through online questionnaires conducted in May 2020, and employ Path Analysis to make sense of the data. This study finds that the psychology of Muslim investors investing in stock markets during the COVID-19 pandemic is irrational and intuitive. Muslim investors react quickly without resorting to any fundamental/technical analysis. Muslim investors are willing to take risks and cut losses in this situation. In addition, the psychology of Muslim investors with respect to religiosity is at the second level of Homo Islamicus' self-interest, namely Al-Nafs Al-Lawamah.