FINANCIAL LITERACY AND INVESTMENT DECISION AMONG STARTUP EMPLOYEE IN INDONESIA

• Main Author: Faidaturrosyida, Alvi
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/50207
• Institution: Institut Teknologi Bandung

In recent years, the start up industry has become one of the most talked industries in the business world. It has become a common secret that salaries in most startup are larger than conventional companies. But, the dynamic lifestyle and the lack of knowledge of financial management makes several groups of workers such as employee startup find it difficult to manage finances. Based on the latest survey from OJK that released in year 2019, the financial Literacy Index increased to 38.03 percent and the financial inclusion index reached 76.19 percent. However, There is a considerable gap between literacy and financial inclusion at the same time. The gap is at risk of being harmed by the public as there is an investment (illegal) that is currently quite crowded in Indonesia. The purpose of writing this scientific paper is to determine the characteristics, the level of financial literacy, investment decision factors, and their relation on start up employees in Indonesia as research objects. Sampling was done by non probability sampling technique that is purposive sampling so as many as 413 respondents were collected. The data collection process was carried out with a modified questionnaire which was completely by online form. The questionnaire of this research is divided into four parts and contain several types of question. The first part is about demographic and socioeconomic variable. The second part is about investment experience. The third part is financial literacy question. And the four part is about investment decision factors. The statistical method used in this research is descriptive analysis and multiple regression. The results showed that the study sample (respondents) had financial literacy categorized as sufficient literate (60.06%). In addition, demographic factors such as education level and monthly income have a positive effect on financial literacy index, finally financial literacy and investment experience have a positive effect on investment decisions. The most influencing factor of investment decision is get rich quick purpose while the least influence factors is religious factor.