Perceived Market Efficiency and Investment Performance in Stock Market: A Literature Review

Abstract

This research is a literature review of 16 scientific articles in which the articles measure the influence of perceptions of stock market share on stock investment performance, with an emphasis on individual perceptions. This research is motivated by the large number of studies related to the perception of the efficiency of investment players' stock market share on stock investment performance, but most previous research was only limited to perceptions from a macro, micro and company perspective, very rarely research related to individual perceptions of stock market share on performance. stock investment. The benefit of this study is that it can add to financial literature, especially individual perceptions of stock market share. The conclusion of this study was obtained from several studies studied, researchers found that external things such as social influence can influence the decisions a person makes. Previous studies also suggested that the model they created could be used to look at other behavioral variables. In addition, previous research calls for further research with populations such as professional investors, this is to determine how much additional psychological components, such as financial literacy, risk taking, and overconfidence, can drive the relationship between personality traits and perceived investment performance.