THE IMPACT OF SOCIAL MEDIA AND FINANCIAL LITERACY ON INVESTMENT DECISION: THE MEDIATING ROLE OF FINANCIAL BEHAVIOR

Abstrak

This study aims to analyze the effect of social media and financial literacy on investment decisions, with financial behavior as an intervening variable. The population consists of students from the Faculty of Economics and Business at UPN Veteran Yogyakarta (cohorts 2022–2025), with a sample of 180 respondents selected using purposive sampling. Data were collected through an online questionnaire and analyzed using SEM-PLS with the WarpPLS 8.0 software. The results indicate that social media and financial literacy have a positive and significant effect on financial behavior. Furthermore, financial behavior also has a positive and significant effect on investment decisions. Meanwhile, financial behavior has a positive but insignificant effect on investment decisions. Mediation testing shows that financial behavior successfully mediates the effect of financial literacy on investment decisions, but does not mediate the effect of social media on investment decisions.