Asset diversification, financial well-being, quality of life, and mental health: a study in Brazil
Journal Title: Revista Contabilidade & Finanças - Year 2022, Vol 33, Issue 90
Abstract
This study sought to investigate the relationship between diversification, financial well-being (FWB), quality of life (QoL), and mental health, and to see how FWB mediates this relationship, considering a sample of 1,047 Brazilian investors registered with the Brazilian Securities and Exchange Commission (Comissão de Valores Mobiliários [CVM]). In the national and international literature, no studies were found that sought to identify the mediating role of FWB between diversification, QoL, and mental health, as proposed in this study. This research may help brokers and financial institutions, allowing a new look at the profile of investors and their portfolios. It also widens the perspectives on studies of personal finance and mental health in Brazil and around the world. Mediation was conducted through structural equation modeling estimated by robust diagonally weighted least squares (RDWLS). ‘Asset classes’ was adopted as a proxy for diversification. For QoL, the World Health Organization Quality of Life (WHOQOL-100) scale was adopted, while the Beck inventories were used to measure mental health (depression and anxiety). For FWB, the measure of the Brazilian Credit Protection Service (Serviço de Proteção ao Crédito [SPC Brasil]) was used. The results showed a strong relationship between the FWB mediation between the diversification degree (asset classes) and the QoL and mental health scales (anxiety and depression). It was found that the diversification level is related to increased levels of anxiety and depression and decreased QoL in the short term, but when mediated by FWB, it decreases the anxiety and depression levels and increases QoL.
Authors and Affiliations
Araújo, Flávia Barbosa de Brito; Rogers, Pablo; Peixoto, Fernanda Maciel; Rogers, Dany
Keywords
Related Articles
- EP ID EP713760
- DOI 10.1590/1808-057x20221470.en
- Views 39
- Downloads 0
How do young low-income university students deal with risk and time preferences in Brazil?
This article sought to understand the behavior of young low-income university students through an experiment based on prospect and hyperbolic discounting theory, with risk and time preferences, and their relationships wi...
Academic research for impact
Editorial Relevant research is of great interest. I have commented on this topic over the years. For example, I spoke recently on the importance of research relevance in the American Institute of Certified Public Accoun...
Cash liquidity and financial constraints in relation to the market performance of Brazilian companies
This article aimed to verify the influence of cash liquidity and financial constraints on the market performance of Brazilian companies. According to pecking order theory, organizations choose retained earnings over debt...
Accounting professionals and whistleblowing: a typology of the influence of institutional logics
The main objective of this article is to understand how institutional logics (ILs) – family, religion, community, state, profession, organization, and capital and labor market – influence (or not) the Brazilian accountin...
Performance measurement systems, environmental satisfaction, and green work engagement
The aim of this article was to analyze the effects of the (diagnostic, interactive, and combined) use of performance measurement systems (PMS) on environmental satisfaction and the reflections of that on employees’ green...