GZU Institutional Repository

Status Quo Bias on Retirement Investment Decisions at Great Zimbabwe University, 2020

Show simple item record

dc.contributor.author Chimwai, Ledwin
dc.date.accessioned 2021-10-20T12:03:18Z
dc.date.available 2021-10-20T12:03:18Z
dc.date.issued 2021
dc.identifier.issn 2789-6803
dc.identifier.uri http://ir.gzu.ac.zw:8080/xmlui/handle/123456789/434
dc.description.abstract The study sought to understand how the status quo bias affects the financial decision making behaviour of employees. A sample of 154 university employees were studied to find out how they would choose investment opportunities for their pensions. Short questionnaires were emailed to sampled employees and responses were expected within a week.The study was largely descriptive in nature and it used the simple regression model to analyse the relationship between investment decisions and employee attributes. The study was limited by the sampling technique used as not all staff could be accessible during the covid 19 pandemic but the high response rate made generalization of findings possible. It was found out that with small choice sets, individuals may still prefer their known investments without rationally weighing the options. The regression results show that most of the variables are not significant in explaining the decisions to invest by employees showing lack of rationality. The results also showed that most employees were not rational in their investment decisions as they did not weigh retirement options that gave the greatest return but they opted to remain in the investment that their employer had chosen for them previously. The results confirmed the existence of status quo bias in investment decisions. The study confirms that apart from cost benefit analysis individual decisions are influenced by cognitive biases. The study could also be replicated on a larger scale in future. en_US
dc.language.iso en en_US
dc.publisher Great Zimbabwe University en_US
dc.relation.ispartofseries Vol.1;No.1
dc.subject Behavioural finance en_US
dc.subject status quo bias en_US
dc.subject retirement investment en_US
dc.subject rationality en_US
dc.title Status Quo Bias on Retirement Investment Decisions at Great Zimbabwe University, 2020 en_US
dc.type Article en_US

Files in this item

This item appears in the following Collection(s)

Show simple item record

Search GSpace

Advanced Search


My Account