Research On The Influence Of Personality Characteristics On Family Financial Assets Selection

In the past 40 years of reform and opening up,people's income level and living standards have increased substantially,financial markets and information technology have developed rapidly,at the same time,people's willingness to participate in financial markets has become stronger and stronger.The demand for optimizing household financial asset allocation,asset preservation and value-adding,diversified investment and raising the level of family financial welfare are increasing day by day.How can people better participate in the financial market,optimize the allocation of family financial assets,and thus improve the level of family financial welfare,not only do people need to have certain professional knowledge and skills,but also need to further consider the deeper factors behind the differences in family asset selection behaviors,that is,people should learn how to participate in financial markets and effectively allocate family financial assets according to their personality traits.In particular,in recent years,academic circles have never stopped exploring the influencing factors of family financial asset selection.This paper attempts to analyze the choice of family financial assets from the perspective of personality characteristics,and attempts to explore the internal influence mechanism of personality characteristics on family financial assets selection.The results of this paper can provide new evidence for explaining the mystery of “limited participation” in financial markets,provide empirical evidence for better investment and financial planning,and give valuable advice for guiding relevant departments to understand and formulate relevant policies,optimize the structure of China's family financial assets,and improve the level of family financial welfare.The main contents of the paper are as follows:The first chapter is the introduction.It mainly expounds the background,research objectives and significance,research content,research ideas,research methods,key problems to be solved,technical routes and possible innovations.The second chapter is the combing of the domestic and foreign related literature on personality characteristics and family financial assets.About the literature related to personality characteristics,this paper firstly sort out the measurement of personality characteristics by scholars,then summarizes the discussions by scholars about the stability of personality characteristics,and finally classifies the literature on the relationship between personality characteristics and economic behaviors.As for the literature on household financial asset selection,this paper briefly reviews the early consumption-saving theory,income hypothesis theory,life cycle theory,and modern portfolio theory,and then review relevant literature on the factors influencing the choice of family financial assets from the perspectives of family heterogeneity and environmental heterogeneity,including scholars' interpretation of the mystery of “limited participation” in the family stock market.In the third chapter,the China Family Tracking Survey Data(CFPS)of 2010 is used to analyze the personality characteristics of Chinese residents and the choice of family financial assets.The measurement method of personality characteristics is introduced in detail,and family financial assets structure are analyzed from different angles.The fourth chapter is to use the 2010 and 2012 CFPS data to construct the variables and measurement models of this paper,and conduct empirical research.Firstly,the Probit model is used to estimate the influence of personality characteristics on family stock market participation and risk financial market participation.The Tobit model is used to estimate the influence of personality characteristics on proportion of stock assets and proportion of risky financial assets.Furthermore,this paper attempts to explain the mystery of "limited participation" in financial markets of high-income families and the characteristics of married households and family assets from the perspective of personality characteristics,and explores the influence mechanism of personality characteristics on family financial asset selection.Finally,considering the influence of personality characteristics on family financial asset selection,there may be a reverse causal relationship.So this paper handles related endogenous problems and carries out robustness test.The fifth chapter is conclusions and policy recommendations.The paper summarizes the results of the statistical analysis in Chapter 3 and the empirical results of Chapter 4,and proposes the relevant policy recommendations based on the conclusions of this paper,and indicates further possible research directions in the future.The main findings of this paper are as follows:(1)A statistical analysis of the personality characteristics of Chinese residents and the structure of family financial assets reveals that,the homosexuality,extroversion and low neurotic personality of Chinese residents are mostly,while the Rigor and Open personality characteristics are relatively insufficient,and at the same time,different personality characteristics have both commonalities and differences in different groups.The scale of family financial assets in China continues to increase,while the enthusiasm of financial market participation,the proportion of family equity assets and risky financial assets is not high.At the same time,it is found that the educational level of respondents is positively correlated with family financial market participation and financial asset selection.Age and family financial market participation and financial asset selection are nonlinear.In the group of married people,urban families,eastern families,and female-headed households,they are more likely to participate in family financial market,and the family stock assets and risk financial assets are relatively high.(2)In the “Big Five” personality traits,only the open personality of the head of household has a significant positive impact on family financial market participation and household asset allocation.The increase in the open personality characteristics of the head of households will increase the probability of family participation in the stock market and the risky financial market,and will also increase the proportion of family risk financial assets,especially stock assets,in household financial assets,and this conclusion passes the tests of endogeneity and robustness.(3)Exploring the mystery of “limited participation” in financial markets of high-income families and the influence of married spouses on family financial market participation and household asset selection from the perspective of personality characteristics,it is found that the lack of open personality traits of heads of households will restrict the participation of high-income families.It explains the mystery of “limited participation” to some extent in the financial market of high-income families.The spouse of the head of the married family will affect the open personality characteristics of the head of the household,and thus affect the choice of family financial assets.(4)Through the analysis of the influence of the personality characteristics of household assets choice mechanism,this paper found that residents of the personality characteristics of family financial market participation and the impact of the financial asset allocation is mainly through the way of social interaction,especially open personality raise social interactions will be significantly enhanced strength,in turn,promote family participation in financial markets,increase the risk of domestic financial assets,especially stock asset allocation.