Journal of Economics and Management
Volume 17, No. 2
September, 2021

Investment Preference Biases on Mutual Funds:
A Conjoint Analysis on Employees of Taiwan’s Financial Institutions

Yun-Chiang Tai
Department of International Business, National Taiwan University, Taipei, Taiwan

Ching-Chih Wu
Department of Finance, Providence University, Taichung City, Taiwan

Pei-San Liao
Department of Statistics and Information Science, Fu Jen Catholic University, Taipei, Taiwan

Abstract
This study focuses on mutual fund investment preference, combining mutual fund type, channels, and way of subscription, for employees of financial institutions. We use fractional factorial design and clustering on demographics and form two diversified groups according to the conjoint analysis with interactive consideration. The result reveals that women with longer working years prefer fixed period investment in fixed income funds via bank. By contrast, younger men with shorter working years prefer single investment in equity funds via bank and security firms. In addition, monthly investment for younger men is significantly higher than that for women. Gender bias owing to varied personal demographics exists in individual investment. The correspondence analysis for cross-validation enhances the conclusion from the hypothesis.

Keywords:Clustering Method, Conjoint Analysis, Correspondence Analysis, Fractional Factorial Design, Multivariate Nonparametric Statistics, Mutual Fund Investment Biases

JEL Classifications:C12, C13, C14, C18, D14, D81, D91.
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