Advanced
search

To read this content please select one of the options below:

Financial analysts’ personal values, perceived behavioural risk and investment decisions in evaluating CSR

Ahmad Usman Shahid (Department of Accounting and Corporate Governance, Macquarie Business School, Macquarie University, Sydney, Australia and Canterbury Institute of Management, Darwin Campus, Darwin, Australia)
Hafiza Sobia Tufail (Department of Management Sciences, COMSATS University Islamabad, Vehari Campus, Vehari, Pakistan)
Hafiz Yasir Ali (Department of Business Administration, School of Management, University of Science and Technology, Hefei, China and Department of Management Sciences, COMSATS University Islamabad, Sahiwal Campus, Sahiwal, Pakistan)
Joane Jonathan (Department of Analytics, Accounting and Finance, Kaplan Business School, Melbourne, Australia)

International Journal of Islamic and Middle Eastern Finance and Management

ISSN: 1753-8394

Article publication date: 26 January 2023

Issue publication date: 2 June 2023

334

Abstract

Purpose

This paper aims to contribute to the corporate social responsibility (CSR) literature by providing holistic insights into financial analysts’ personal values, perceived behavioural risk and investment decisions relating to the social aspects of CSR. Specifically, this paper examines whether analysts’ personal values, such as religiosity, spirituality and social consciousness, influence their investment decisions relating to a highly profitable firm that is alleged of exploiting labour rights. This study also examines the mediating role of analysts’ perceived behavioural risk between personal values and investment decisions.

Design/methodology/approach

Data were collected, using a scenario-based survey, from 145 financial analysts at both public and private companies in Pakistan.

Findings

The results show that analysts’ values, including religiosity, spirituality and social consciousness, have a significant negative impact on their investment decisions. The results also demonstrate that perceived behavioural risk mediates the relationship between these values and investment decisions.

Practical implications

This study has implications for the globalised business world, regulators and researchers for incorporating personal and ethical values into risk and investment decision-making.

Originality/value

This study establishes the importance of analysts’ personal values in risky investment decision-making.

Keywords

Acknowledgements

The authors acknowledge the valuable feedback provided by Dr Muhammad Imran and the useful insights of the editor, Professor M. Kabir Hassan.

Conflict of interest: The authors declare that they have no conflict of interest.

Data availability statement: The data that support the findings of this study are available on request from the corresponding author. The data are not publicly available due to privacy or ethical restrictions.

Citation

Shahid, A.U., Tufail, H.S., Ali, H.Y. and Jonathan, J. (2023), "Financial analysts’ personal values, perceived behavioural risk and investment decisions in evaluating CSR", International Journal of Islamic and Middle Eastern Finance and Management, Vol. 16 No. 4, pp. 716-733. https://doi.org/10.1108/IMEFM-11-2021-0443

Publisher

:

Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

Related articles

Manage cookies

We’re listening — tell us what you think

Join us on our journey