The economic implications of personality traits on investment behaviour: Evidence from an emerging market with sustainability orientation

M Musaroh (Department of Management, Faculty of Economics and Business, Universitas Negeri Yogyakarta)
Karthikeyan Parthasarathy (Management Department, Kongu Engineering College, India)
Christina Heti Tri Rahmawati (Management Department, Sanata Dharma University, Indonesia)

DIJB (Diponegoro International Journal of Business)
Vol 9, No 1 (2026)

This study investigates the economic implications of personality traits for individual investment Behaviour in an emerging market context, focusing on the Indonesia Stock Exchange. Specifically, it examines how emotional stability and prudence trait influence investment Behaviour, and how sustainability orientation moderates these relationships. Using data collected from 242 individual investors and analysed through Structural Equation Modelling–Partial Least Squares (SEM-PLS), the results show that emotional stability has a significant positive effect on investment Behaviour, while prudence trait does not directly influence them. However, sustainability orientation strengthens the role of emotional stability and alters the effect of prudence trait. These findings provide practical insights for financial managers and policymakers to better understand Behavioural drivers of sustainable investment in emerging markets.