An interpretive structural model of factors affecting the phenomenon of investors' mental anchoring in the capital market

Abstract

The purpose of this research was to design an interpretive structural model of the factors affecting the phenomenon of investors' mental anchoring in the capital market. This research is a survey in terms of its developmental purpose, a survey in terms of its data collection method, and a cross-sectional study in terms of its time. The model was presented based on a mixed method with a quantitative and qualitative approach. The statistical population included academic and capital market experts, of whom 15 were interviewed as a statistical sample until the theoretical saturation of the interview. In the qualitative stage, the results of the semi-structured interviews were analyzed using the content analysis method. The content analysis of the interviews with the experts led to the identification of 18 factors affecting the phenomenon of investors' mental anchoring, which were: initial experiences, information and analysis, the influence of the media, psychological factors, economic factors, social factors, market transparency, access to information, laws and regulations, investment strategies, risk management, market analysis, investment experience, economic situation, social influence, profitability, investor behavior trends, and self-confidence. The results of fitting the interpretive structural model of these factors showed that these factors can be categorized into 6 levels in terms of influence and impact. Psychological factors, investment strategies, profitability, and self-confidence have been identified as the most influential factors, while economic factors, social factors, laws and regulations, and economic situation have been identified as the most influential factors on investors' mental anchor.