Digital finance era: Will individual investors become better players?

IF 5.4 2区经济学 Q1 BUSINESS, FINANCE

Journal of International Financial Markets Institutions & Money Pub Date : 2024-01-26 DOI:10.1016/j.intfin.2024.101935

Xiaomeng Lu , Xianjun Zhang , Jiaojiao Guo , Pengpeng Yue

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Abstract

Exploring the intersection of new technologies and financial services, this study probes the role of digital inclusive finance in enhancing the performance of individual investors. Utilizing a unique dataset, we examine the influence of digital inclusive finance in diverse financial environments, particularly focusing on areas with varying levels of traditional financial development and investor protection. Our panel-data statistical model addresses endogeneity concerns, revealing that digital inclusive finance notably boosts investor performance, primarily through enhanced investment diversification and reduced disposition effect. These improvements are more pronounced in regions with underdeveloped traditional finance or robust investor protection. This study not only contributes to understanding the nexus between digital inclusive finance and investor behavior but also suggests policy implications. We recommend leveraging digital financial strategies to empower investors, particularly in less developed financial regions, to maximize the benefits of digital inclusive finance inclusivity.

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数字金融时代：个人投资者能否成为更好的参与者？

本研究探讨了新技术与金融服务的交叉点，探究了数字普惠金融在提高个人投资者业绩方面的作用。利用独特的数据集，我们研究了数字普惠金融在不同金融环境中的影响，尤其关注传统金融发展和投资者保护水平不同的地区。我们的面板数据统计模型解决了内生性问题，揭示出数字普惠金融显著提升了投资者的绩效，主要是通过增强投资多样化和降低处置效应。这些改善在传统金融不发达或投资者保护不健全的地区更为明显。这项研究不仅有助于理解数字普惠金融与投资者行为之间的关系，还提出了政策建议。我们建议利用数字金融战略增强投资者的能力，尤其是在金融欠发达地区，以最大限度地发挥数字普惠金融的包容性优势。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Journal of International Financial Markets Institutions & Money Multiple-

CiteScore

6.60

自引率

10.00%

发文量

142

期刊介绍： International trade, financing and investments, and the related cash and credit transactions, have grown at an extremely rapid pace in recent years. The international monetary system has continued to evolve to accommodate the need for foreign-currency denominated transactions and in the process has provided opportunities for its ongoing observation and study. The purpose of the Journal of International Financial Markets, Institutions & Money is to publish rigorous, original articles dealing with the international aspects of financial markets, institutions and money. Theoretical/conceptual and empirical papers providing meaningful insights into the subject areas will be considered. The following topic areas, although not exhaustive, are representative of the coverage in this Journal. • International financial markets • International securities markets • Foreign exchange markets • Eurocurrency markets • International syndications • Term structures of Eurocurrency rates • Determination of exchange rates • Information, speculation and parity • Forward rates and swaps • International payment mechanisms • International commercial banking; • International investment banking • Central bank intervention • International monetary systems • Balance of payments.