The impact of financial literacy and information technology on millennials' stock market investment motivation

Abstract

This study aims to determine the effect of financial literacy and information technology knowledge on the motivation of the millennial generation to invest in shares on the Indonesian Stock Exchange. The population in this study are millennial investors who have joined two securities companies on the Indonesian Stock Exchange, namely Mirae Aset Sekuritas and Phintraco Sekuritas. Determination of the number of samples using purposive sampling method, namely only those willing to fill out a questionnaire distributed online, and the results obtained are 44 samples. The analytical tool used in this research is Multiple Linear Regression analysis. The study results show that: 1) Financial literacy significantly affects millennial motivation to invest in shares on the Indonesian Stock Exchange. The higher their financial literacy, the more motivated they are to invest in stocks; 2) Knowledge of information technology has no significant effect on millennial motivation to invest in shares on the Indonesian Stock Exchange, and 3) Simultaneously, the investment motivation variable can be explained by the financial literacy and information technology knowledge variables by 58%. In contrast, the remaining 42% can be explained by other variables not included in this study.