QUESTIONNAIRE

DIAGNOSTIC TEST FOR INVESTMENT PERSONALITY

We, the Fourth-year students of the Bachelor of Science in Business Administration

major in Financial Management, are currently conducting a study entitled “Diagnostic
Test for Investment Personality” in our subject Behavioral Finance at Carlos Hilado
Memorial State University, Fortune Towne Campus, Bacolod City, Negros Occidental.
The researchers identify you as one of our participants in this study. Moreover, please
take your time to read and understand the given questions and rest assured that we will
treat your response/answer with the utmost privacy and will be used only for research
purposes.

PART I. DEMOGRAPHICS

Age:
Sex:
Program:

PART II. DIAGNOSTIC TEST

Put a check (√) mark on the following scale with regards to Diagnostic Test for
Investment Personality that you experience. Please answer based on your personal
experiences.

5- STRONGLY AGREE
4- AGREE
3- NEUTRAL
2- DISAGREE
1- STRONGLY DISAGREE

5 4 3 2 1

A. EXTENT OF RETURNS
1. Commodities are important to commerce and it is
worth investing in (e.g. wheat, metals, coal, and gasoline)

2. Hedge fund is one of the most promising chances for

students to get wealthy by earning high returns (e.g. land,
real estate, derivatives)
3. Bonds offer a steady source of income and make
excellent savings options (e.g. Metro bank, San Miguel
Corporation, BPI)
4. Stocks has the potential to earn higher returns and it
expose me to a real-life trading environment
5. Savings account is a deposit account that offers a
moderate rate of interest.

B. LEVEL OF RISKS IN FINANCIAL ASSETS

1. I am aware of the following risks common in investing
to hedge funds such as fraud, regulatory action, market
illiquidity
2. Stocks are the safest asset to invest in (e.g. Ayala
corporation, BPI, SM Investment Corp et al)
3. I am aware that I am not able to regain the money I
invest in bonds
4. I would rather choose banks with lower risk when
opening a savings account.
5. Risk in owning or investing in real estate includes
potential financial loss due to high financing cost on loans
and high vacancy rates.
6. I am aware of the risk in investing commodities (e.g.
inflation, weather, new technologies)
C. CONTRIBUTION TO INVESTMENT PERFORMANCE
1. Selection of financial product requires investment
adjusted performance.
2. Whenever the market falls, I would rather excel my
investment and learn more about how market works.
3. To enable to keep an eye on my assets, I prefer to be
aware of the investment approach I am using.

D. DEGREE OF IMPORTANT SOURCE

1. Own judgement in investing is a relevant source of
information(e.g. shares, interest, growth investment)

2. The media is one of the crucial source of information

since it accurately conveys the truth.

3. Getting advice on investing from friends enables one to

achieve rational conclusions while avoiding any
psychological issues
4. Price movements is a change in the value of an asset
that offers relevant and important financial information.

5. Product brochures is a distinctive marketing technique

that gives additional details about investment to generate
interest.
E. Investor Type
What type of Investor are you? Choose only one and put a check (√) mark after understanding the details
below
Intuitive Investor- I assess the opportunities and risks of the financial market differently than
one would normally. In addition, I am driven by emotions at the moment of making
investment decision.
Strategic Investor- I have a good overview of the opportunities and risks that the financial
markets offer. I am not driven by emotions by emotions of making investment decision.

Exploring Investor- I have a good overview of the opportunities and risks that the financial
markets offer. Once in a while, I am willing to try something new out (i.e. investments in
innovative financial products)
Realistic Investor- I searches professional investment consulting to realize and pursue
investment objectives and assess the opportunities and risks of the financial market differently.

Marissa Quezon
Adviser

Sincerely Yours,

Crispe, Jeazel Labrador, Troy

Galangue, Reah Jane Moya, Genberly
Garcia Maylalene. Yanson, Mark

Thank you so much for your time and indulgence!

 Below presents, analyzes and interprets the data, which were gathered to carry out the predetermined
objectives of this diagnostic. To recall, this study aimed to determine Diagnostic Test for Investment Personality
of BSMA 3rd and 4th year students at Carlos Hilado Memorial State University for the School Year 2022-2023.

Results and Discussion

Table 1: Profile of the Participants.

Variables Categories Frequency Percentage

Age (20-24) years old 30 100%

Female 25 83.33

Sex
Male 5 16.67

Total 30 100%

BSMA 3rd year 4 13.33

Program
BSMA 4th year 26 86.67

Total 30 100%

It is worth noting that of the twenty (20) items in the questionnaire, five (5) items focused on the extent of

returns, six (6) on the level of risks of financial assets, three (3) on the contribution to investment performance,

five (5) on the degree of important of source information and the remaining one (1) focused on investor type of

the said respondents.

Tables 2, 3, 4 and 5 that follow on the succeeding pages depict these findings in more detailed manner by

illustrating the mean scores obtained by extent of returns, level of risks of financial assets, contribution to

investment performance degree of important of source of information and investor type respectively.
Table 2: The Extent of returns of the following assets:

Variables N Mean Interpretation

Commodities 30 4.27 High

Hedge Fund 30 4.27 High

Bonds 30 4.23 High

Stocks 30 4.37 High

Savings Account 30 3.97 High

Table 3: Level of risks of financial assets:

Variables N Mean Interpretation

Hedge Fund 30 4.37 High

Stocks 30 3.87 High

Bonds 30 3.67 High

Savings account 30 4 High

Real Estate Funds 30 4.3 High

Commodities 30 4.53 High

Table 4:Contribution to investment performance

Variables N Mean Interpretation

Product Selection 30 4.2 High

Market Timing 30 4.1 High

Investment Strategy 30 4.6 High

Table 4:Degree of important source of information

Variables N Mean Interpretation

Own Judgement 30 3.87 High

Media 30 3.47 High

Friends 30 3.33 High

Price Movements 30 4.3 High

Product Brochures 30 4.13 High

Table 5: Investor Type

Variables N Percentage Interpretation

Intuitive Investor 5 16.67% Low

Strategic Investor 4 13.33% Low

Exploring Investor 9 30% Moderate

Realistic Investor 12 40% Moderate

Total: 30 Total: 100%

Among the following areas of diagnostic test, in the extent of returns, the stocks has been so far the area that

has gotten the highest mean score of 4.37, interpreted to be at a high extent. the students perception of stocks has

potential to earn higher returns and expose them to a real-life trading environment. However, the savings account

has gotten the lowest mean score of 3.97, interpreted to be at a high extent but this is the area that most of the

respondents do not usually paid attention of when assessing the returns potential of asset classes.

In the level of risk of financial assets, commodities is the area that has gotten the highest mean score of 4.53.

The students are aware of the risk in investing to commodities (e.g. inflation, weather, new technologies).
However the bonds has gotten the lowest mean score of 3.67, interpreted to be at a high extent. Students have

less perception of the risk in bonds if they invest in it.

On the other hand, three (3) of the factors according to contribution to investment performance has gotten the

same interpretation of high extent which Investment Strategy got the highest mean score of 4.6. Students are

aware of the investment approach they are using which assess the long-term assignment of wealth to asset

classes.

In the degree of important source, price movements has gotten the highest mean score of 4.3, interpreted to be

at a high extent. Students perception of price movements is a change in the value of an asset that offers relevant

and important financial. They consider price movements as very important. If the prices were falling, the

investors/students considering price movements as very important would adjust their expectations downward, but

often insufficiently due to the anchoring effect. Consequently, they might not be prepared for extreme negative

scenarios. However, friends got the lowest mean score of 3.33, interpreted to be at a high extent. BSMA

Students do not usually trust investment ideas and recommendations from friends.

On the other hand, in investor type, the students are more on realistic type of investor. Student searches

professional investment consulting to realize and pursue investment objectives and assess the opportunities and

risks of the financial market differently. Realistic investors are the type of investors with with high knowledge

and low emotionality.

Recommendations

In the light of these findings, the following recommendations are hereby submitted:

1. Further, the BSMA students are supposed to extract factors that potentially impact on their investment

mistakes to improve their decision making when investing.

2. The researchers’ study also suggests that BSMA students must assess the long-term returns potential of

asset classes, the short-term risk potential of asset classes, their view on the performance contributor,
 view on good diversification and determine what type of investor are they to enhance a thoughtful

diagnostic of their strengths and weaknesses as investors, which they could use as a starting point for

potential investment improvements.

3. The researchers’ study also suggests that BSMA Students must evaluate their affinity to determine some

common investment mistakes under the influence of psychological and emotional factors.