Guidelines for Successful Investment in the Stock Market According to Buddhist Psychology

Abstract

This study aimed to: 1. examine theoretical concepts related to investment success in the stock market based on Western psychological perspectives and Buddhist principles, 2. study and compare investment success according to Buddhist psychology, and 3. propose guidelines for achieving investment success in the stock market based on Buddhist psychology. A mixed-methods approach was employed, combining quantitative and qualitative research. The sample consisted of 400 investors in the Stock Exchange of Thailand, including day traders and long-term investors who opened trading accounts in 2024. Key informants for focus group discussions included five experts. Research instruments comprised a questionnaire and focus group discussion guide. Quantitative data were analyzed using percentages, means, standard deviations, F-tests, and Pearson’s correlation coefficients, while qualitative data were analyzed using matrix analysis.

The findings were as follows: 1.Theoretical concepts related to investment success included: (a) Western psychological perspectives, such as investment psychology and motivation theories by McClelland and Maslow; and (b) Buddhist principles, including the Four Iddhipāda (Paths of Accomplishment) and Yonisomanasikāra in terms of meaningful contemplation (attha-dhamma relevance). 2. Investment success according to Buddhist psychology revealed that: (a) investors’ overall perceptions of psychological variables (investment psychology and motivation), Buddhist variables (the Four Iddhipāda and Yonisomanasikāra), and investment success variables (financial and non-financial returns) were at a high level; (b) investors’ opinions differed according to demographic characteristics, including gender, age, education, occupation, marital status, investment experience, and portfolio value; and (c) Buddhist psychological factors were highly correlated with investment success. 3. Guidelines for achieving investment success in the Thai stock market based on Buddhist psychology emphasized key approaches, including learning and updating investment knowledge, cultivating internal motivation, developing the right attitude, thinking systematically, enhancing mindfulness and concentration, accepting and learning from mistakes, and practicing loving-kindness while conducting oneself ethically.