Impact of financial market ratios to individual investors decision in Vietnam

Abstract

In this study, the researcher investigate the impact level of the financial market ratio to decision making of individual investors in Hochiminh city. The research based on literature review about financial ratio groups and then connected them to propose a new framework. There are five groups of independent variables such as market value ratio, efficiency ratio, liquidity ratio, leverage ratio, profitability ratio and one group of dependent variable is investor decision. In details, the researchers discuss and consult opinions of experts, finance analyst in Hochiminh city to create the questionnaires. Then, the offline survey and online survey are conducted by paper form and internet. There are 390 valid questionnaires that are used to analyze the subject of study by SPSS (Statistical Package for the Social Sciences) software. The result of multiple regression analysis is supported by SPSS shows that the impact level of each group of financial ratio to the decision making of investors. Thus, the result this study will be a useful resources and a reliability references for investors, brokers, enterprises and Securities Company to capture the current trend in the evaluation to financial ratios of individual investors when making investment decision in HochiMinh city.