Personalised Behavioural Finance within the European Markets in Financial Instruments Directive II Framework: A Multilayered Analysis
This article explores how behavioural, psychological, and socio-demographic factors interact in shaping financial decision-making (FDM) within the framework of the European Markets in Financial Instruments Directive II (MiFID II). The objective is to define a personalised model of behavioural finance that aligns with MiFID II’s requirement for investor profiling and transparent advice. A total of 155 participants (aged 18–60) completed online questionnaires assessing financial literacy − divided into knowledge, behaviour, and attitude − together with psychological measures of impulsiveness, time perspective, behavioural activation/inhibition systems, and temperament traits. Gender differences and relationships among these variables were examined through t-tests, MANOVAs, and chi-square analyses. Results revealed that men scored higher in financial knowledge and literacy, whereas women exhibited higher behavioural inhibition. Temperament types influenced impulsiveness and time perspectives: Rationalists appeared less impulsive and more future-oriented, while Idealists and Artisans were more hedonistic and risk-seeking. Higher financial literacy was associated with more cautious investment decisions and a preference for low-risk portfolios, supporting the idea that knowledge enhances prudence rather than risk tolerance. These findings highlight the importance of multilayered profiling that integrates behavioural, psychological, and socio-demographic dimensions to improve personalised financial advice. The study concludes that the implementation of MiFID II should incorporate these multidimensional insights to foster informed, responsible, and tailored financial decision-making. Future research should extend this model by testing how such profiles influence real investment choices under uncertainty.
Authors
- Luigi Trojano (ORCID: https://orcid.org/0000-0002-0328-9642)
- Viviana Ventre (ORCID: https://orcid.org/0000-0001-5314-5770)
- Francesco Panico (ORCID: https://orcid.org/0000-0001-8346-5484)
- Roberta Martino (ORCID: https://orcid.org/0000-0002-2195-8715)
- Luigi Valio
Institutions
- University of Campania "Luigi Vanvitelli" (IT)
- Università degli Studi Suor Orsola Benincasa (IT)
Publication Details
- Journal
- Università degli Studi di Urbino
- Published
- 2025-02-12
- DOI
- https://doi.org/10.14276/2285-0430.4945
- Primary Topic
- Decision-Making and Behavioral Economics
- Type
- article
- Field-Weighted Citation Impact
- 0.00