Jesocin : Journal of Economics, Accounting, Business, Management, Engineering and Society
Vol. 1 No. 6 (2024): Jesocin - May

NAVIGATING EQUITY CROWDFUNDING: INFORMATIONAL VS. RELATIONAL INFLUENCE ON INVESTOR BEHAVIOR

Aripin, Zaenal (Unknown)
Faisal, Ijang (Unknown)
Ruchiyat, Endang (Unknown)



Article Info

Publish Date
06 May 2024

Abstract

This research analyzes the interaction between informational and relational influences in investor behavior in choosing equity crowdfunding. This approach includes in-depth literature studies from various relevant sources such as scientific journals, books and research reports. Informational influence involves analyzing market data and financial information to evaluate a fund's performance and investment potential, while relational influence creates a subjective dimension in investment decision making, including trust, comfort, and loyalty. Research shows that a good relational relationship between investors and fund managers plays an important role in establishing investors' trust and comfort in choosing equity crowdfunding. Investors tend to trust fund managers they know and trust, even if market information shows signs to the contrary. Additionally, strong relationships also allow investors to gain easier access to relevant and useful information about the equity funds they are considering. However, the interaction between informational and relational influences is not always positive, as too strong a relationship can cloud an investor's objective assessment of a fund's performance or potential investment risk. Therefore, it is important for investors to strike the right balance between informational and relational influences in long-term investment decision making in equity crowdfunding. By paying attention to these aspects, investors can make more informed and sustainable investment decisions, which are in line with their long-term investment goals.

Copyrights © 2024






Journal Info

Abbrev

jesocin

Publisher

Subject

Religion Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Industrial & Manufacturing Engineering Social Sciences

Description

JESOCIN as a dynamic journal in the field of "Journal of Economics, Accounting, Business, Management, Engineering and Society", is proud to accept submissions of articles relevant to such a broad scope of research. We invite researchers, academics, and practitioners to contribute with their original ...