The Impact of Financial Literacy on Financial Behavior among Investors in Short Term Financing

Abstract

This work is an assessment to encourage 'the impact of financial literacy on financial behavior among investors in short term financing. The size of sample collected is 110 investors who are usually invest in different financial institutions and investment companies. The financial literacy (independent variables) have two factors that is financial knowledge and protecting resources of and one factors of financial behavior (dependent variable) that is money management. In this research, questionnaires method was used to collect the data related to investor’s literacy and behaviors. After analyzing the results, it is suggested that financial literacy of majority of an investor is at a moderate level. Many analysis techniques were used, and the results shows that financial literacy have a significant relationship on financial behavior.