ANALYSIS OF RETURN AND RISK ON STOCK PURCHASE DECISIONS IN BANKING SUBSECTOR COMPANIES LISTED ON THE LQ45 INDEX FOR THE PERIOD 2019-2024

Muhammad Muhammad (Universitas Ibn Khaldun Bogor, Indonesia)
Titing Suharti (Universitas Ibn Khaldun Bogor, Indonesia)
Diah Yudhawati (Universitas Ibn Khaldun Bogor, Indonesia)

Manager : Jurnal Ilmu manajemen
Vol. 8 No. 1 (2025): Manager : Jurnal Ilmu Manajemen

This study aims to analyze the between risk and return in influencing stock purchasing decisions in banking sub-sector companies listed in the LQ45 Index from 2019 to 2024. Using a quantitative approach and linear regression analysis, data were collected through documentation and literature study. The research is grounded in the context of economic volatility due to the COVID-19 pandemic and the rapid digital transformation in the banking sector. Results show that investor decisions are significantly influenced by return potential, while risk factors do not statistically affect stock purchase decisions. This indicates that investors prioritize profit opportunities over risk consideration when investing in banking stocks within the LQ45 Index