Measuring and Analyzing the Impact of Investor Preferences on Bank Returns a Study of Qatari Commercial Banks

Abstract

The study focus on the behavioral aspects of investors by measuring and analyzing the trend, extent, and nature of the impact that investor preferences have. The investors’ preferences are represented by variables including (the size of the IPO, the number of executed contracts, and return on share) in the bank returns (return on deposits) for a sample of Qatari banks listed in the Doha Securities Market for the period (2010-2020), and to overcome the research problem, the study formulated the following question: Is there an impact of investor preferences on the returns of Qatari banks? On this basis, the study assumed that “the preferences of investors have an impact on the banking returns of the sampled banks". Through the analysis of the longitudinal data of the variables and interpreting the results, the results indicated a positive impact of (the number of contracts executed) and (the size of the IPO) and a negative impact of (the rate of return on share) on (the rate of return on deposits), and the research recommended the need to recognize such preferences in the theory of financial behavior and to focus on the preferences of investors as it represents a significant dimension that affects banking returns.