The Effect of Financial Literature and Financial Efficiency On Investment Decisions (Case Study on Students in Pekanbaru City)

Abstract

This study aims to determine and analyze the effect of financial literacy and financial efficacy on investment decisions in active students in the city of Pekanbaru. The research method used is descriptive and quantitative as well as qualitative methods. Types and sources of data using primary data and secondary data. The data collection technique uses a questionnaire that has been tested for validity and reliability. The research subjects were ±130 respondents with purposive probability sampling technique and 6 interviewees. Meanwhile, the data analysis technique used was multiple linear regression equations, management using SPSS V25 and NVivo 12. Based on the results of the t test, it was obtained that financial literacy partially had a positive effect significant impact on investment decisions and financial efficacy has a significant positive effect on investment decisions in students. Furthermore, based on the F test, it is found that financial literacy and financial efficacy simultaneously have a significant effect on investment decisions.