THE APPLICATION OF DIVIDEND YIELD BASED INVESTMENT STRATEGY IN INDONESIA STOCK EXCHANGE (CASE STUDY OF LQ45 THE PERIOD 2009-2019)

• Main Author: Puspitasari Syafiuddin, Wahyuni
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/53641
• Institution: Institut Teknologi Bandung

The growth in the number of stock investors in the Indonesian stock exchange continues to increase every year. The stability of domestic consumption which is directly proportional with the stability of economic growth, as well as the position of the Indonesian stock exchange was the 10th best in the world in 2016 have contributed to this growth, especially for individual investors both experienced and inexperienced investors. To achieve their investment goals, various investment strategies are applied by these investors in order to be able to obtain maximum returns. Of course, for those inexperienced individual investors and they also don’t have formal educational backgrounds related to investment and the stock market hard to choose and apply these strategies appropriately. Therefore, The Dogs of The Dow X strategy can be an alternative solution as a powerful, applicable, and high-performing strategy that can show which stocks are most profitable and provide the high returns for investors. Based on this issue, the study is aimed to analyze the implementation of the strategy of The Dogs of the Dow X at companies categorized as LQ45 stock indexes for period of 2009-2019. The research finding has shown that the strategy is simple to apply and can show which stocks are most profitable and can provide maximum returns for investors. Also, the research finding also shows that most of the stocks categorized as Dogs X on the list have outperformed the LQ45 indexes for the 2009-2019 period.