Friends do let friends buy stock actively. The relationship between stock market investment and social interaction (PDF)

Master's Thesis from the year 2014 in the subject Business economics - Banking, Stock Exchanges, Insurance, Accounting, Iqra University, language: English, abstract: This research study is based over an observation about the relationship between stock market investment and social interaction. People believe that an investor enters a stock market through his personal or social relations. My research is the analysis and interpretation of this statement that to what extent it is true or false.

Firstly 280 stock market investors were interviewed through questionnaires for this research. The investors included different business men, brokers, employees, old age people etc. then a test were applied which had a dependent and some independent variables. There were 11 independent variables like news and magazines related to stock market, stock experience and knowledge, financial history of a company, variation in stock and similar things like that. The dependent variable was the investing time span.

The result showed that there are some things an investor has in his mind before investing and at the initial stage, but as the time span gets longer and he involve in the surroundings he gets to know better and believes less in those superstitious thoughts. Conversely as an investor involves in stock trading then he doesn't need such type of information. Therefore there had always has been a negative relation between the dependent and independent variables.