Investigating the Investors' Behavior in Tehran Stock Exchange based on BB&K Five-Way Model

The investorschr('39') behavior in financial markets is one of the most important issues in behavioral finance. The purpose of this study is to investigate the investors’ behavior in Tehran stock exchange based on model developed by Thomas Bailard, David Biehl and Ronald Kaiser (BB&K) five-way model. This model includes Adventurer, Celebrity, Individualist, Guardian and straight Arrow. Investment opportunities (financial products) in the stock exchange were divided into five separate categories. To do this research, 364 investors were selected as a statistical sample. The needed data was gathered through a questionnaire. The research hypotheses were analyzed by using regression analysis. The research findings show, there is meaningful and positive relationship between personality types of investors and their behavior in stock exchange market. That means adventurer & celebrity’s investors tend to invest in financial products of the first and second category. But guardian and straight arrow’s investors tend to invest in financial products of the third, fourth and fifth category. Finally, individualist investors tend to invest in all five categories of financial products.