Herding Behaviour on Investment Decision: Mediating Effects of Risk Tolerance of Generation Z Investors

Title

Herding Behaviour on Investment Decision: Mediating Effects of Risk Tolerance of Generation Z Investors

Creator

Raj, M. Alex Praveen; Kumar, B. Sathish

Description

The study explores whether the financial risk tolerance capacity and herding behaviour affect the Generation Z investors investment decision. A structured questionnaire has been developed, and used with Five-point Likert scaling technique for measuring the constructs in the study. The data was collected through both offline and online mediums from Generation Z individual investors, and the authors have used PLS-SEM technique to examine the data. The study reveals as the herding behaviour influences investors investment decisions. Also, it states the association between herding behaviour and financial risk tolerance capacity be positively associated. In contrast, financial risk tolerance capacity is without any mediating value between herding and their investment decisions. The Author(s), under exclusive license to Springer Nature Switzerland AG 2026.

Source

Studies in Systems, Decision and Control;Volume;613;pp.735-744

Date

01-01-2026

Publisher

Springer Science and Business Media Deutschland GmbH

Subject

Financial risk tolerance; Generation Z; Herding behaviour; Investment decision

Coverage

Raj M.A.P., Department of Commerce, Christ (Deemed to be University), Karnataka, Bengaluru, India; Kumar B.S., Department of Commerce, Christ (Deemed to be University), Karnataka, Bengaluru, India

Rights

Restricted Access; Hardcopy may be available in the library

Relation

ISSN: 21984182;

Format

online

Language

English

Type

Book chapter

Identifier

https://doi.org/10.1007/978-3-031-99470-8_74

https://www.scopus.com/pages/publications/105039318845?origin=resultslist