Trading systems and decision making by institutional investors
Trading systems and decision making by institutional investors
Date
2012-11
Authors
Nadongo, Angela
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
The study sought to examine the relationship between trading systems and decision making of institutional investors of listed companies on the Uganda Securities Exchange. According to Tharp (2010), a trading system is a set of procedure, trading parameters and trading indicators. The objectives of the study were to examine the relationship between; i) set of procedure and decision making, ii) trading indicators and decision making, iii) trading parameters and decision making , iv) set of procedure, trading indicators and trading parameters.
The methodology used was a cross sectional survey design with a descriptive approach to ascertain the relationship between trading systems and decision making by institutional investors. Analysis of data was done using the Statistical Package for Social Scientists (SPSS). Findings indicated a positive relationship between the study variables: set of procedure, trading indicators and decision making (r = 0.45, p≤ .01), trading parameters and decision making (r = 0.34, p ≤ .01), set of procedure, trading indicators and trading parameters (r = 0.32, p≤ .01). General findings showed that trading parameters were the most significant explainers of decision making (B = .40, p=.05).
The study therefore recommended that if Institutional investors are to trade effectively, they should trade within financial capability, with quality advice, base on past stock performance, and design trading systems that are compatible with the corporate strategy of their organization.
Description
A dissertation submitted to School of Graduate Studies in partial fulfillment of the requirement for the award of degree of Masters of Science in Accounting and Finance of Makerere University
Keywords
Trade,
Trading systems,
Decision making,
investors,
investment
Citation
Nadongo, A. (2012). Trading systems and decision making by institutional investors. Unpublished Masters Dissertation. Makerere University