Fundamental Analysis and Risk Management Mechanisms on Investment Returns and Investor Satisfaction in the Indonesian Capital Market
DOI:
https://doi.org/10.58812/wsis.v3i01.1627Keywords:
Fundamentals, Risk Management Mechanisms, Investment Returns, Investor Satisfaction, Indonesian Capital MarketAbstract
This study investigates the influence of Fundamentals and Risk Management Mechanisms on Investment Returns and Investor Satisfaction in the Indonesian capital market. Samples of 148 were surveyed using a Likert scale ranging from 1-5 to find the relationships among the variables, data was analyzed using Structural Equation Modeling (SEM) based on Partial Least Squares (PLS). The outcomes reveal that both Fundamentals and Risk Management Mechanisms considerably positively influence Investment Returns and Investor Satisfaction. Specifically, Fundamentals have a positive effect on both Investment Returns and Investor Satisfaction, while Risk Management Mechanisms contribute substantially to both Investment Returns and Investor Satisfaction. The findings bring to the fore the fact that strong financial fundamentals, coupled with effective risk management mechanisms, are the bedrock of any investor's success and satisfaction. The study gives useful input to investors, policy, and market participants on ways to ensure the stability of capital markets and investor confidence.
References
H. Ahmadi, “Is Cryptocurrency Risky as An Investment Instrument? Analysis of Return and Risk with A Comparison of Sharia Stocks,” Int. J. Islam. Bus. Ethics, vol. 8, no. 1, p. 40, 2023, doi: 10.30659/ijibe.8.1.40-53.
N. T. P. Sari and A. Kusumawati, “Literature Review : The Efforts To Strengthening of Micro, Small and Medium-Sized Enterprises (MSME) in Indonesia,” Asian J. Manag. Entrep. Soc. Sci., vol. 2, no. 01 SE-Articles, pp. 98–115, 2022.
R. Thohiri, R. Yuni, P. Hastuti, and A. Arwansyah, “Factors That Influence Investments in The Indonesia Stock Exchange to Improve Understanding of Capital Market Subjects Study on Unimed Campus Communities,” in The 3rd International Conference Community Research and Service Engagements, IC2RSE 2019, 4th December 2019, North Sumatra, Indonesia, 2020.
D. Wiyanti, N. S. Imaniyati, and N. Chotidjah, “Supervision Model of the Financial Services Authority (Otoritas Jasa Keuangan (OJK)) on the Indonesia Capital Market to Protect Investors,” KnE Soc. Sci., pp. 350–363, 2024.
A. Kartika, M. Irsad, M. Setiawan, and B. Sudiyatno, “THE RELATIONSHIP BETWEEN CAPITAL STRuCTuRE, FIRM PERFORMANCE AND A FIRM’S MARKET COMPETITIVENESS: EVIDENCE FROM INDONESIA,” 2023.
S. S. Dahlan, P. Mappigau, and S. Khaerani, “Human capital and best practice management adoption of among small scale maize farmer in Bantaeng District, Indonesia,” Journal of Marketing …. jmm-net.com, 2014.
F. Colline, T. Rusmanto, D. L. Warganegara, and Y. R. I. Hutagaol, “DETERMINANTS OF INVESTMENT SATISFACTION AMONG YOuNG INVESTORS IN INDONESIA,” 2024.
N. Afni, M. Muspa, and R. Suwandaru, “PENGARUH KINERJA KEUANGAN TERHADAP RETURN SAHAM PADA PERUSAHAAN MANUFAKTUR YANG TERDAFTAR DI BURSA EFEK INDONESIA,” J. Sains Manaj. Nitro, vol. 2, pp. 34–45, May 2023, doi: 10.56858/jsmn.v2i1.135.
O. Linggarsari, S. P. Winarko, and A. Tohari, “Pengaruh Risiko Investasi Dan Profitabilitas Terhadap Return Saham Perusahaan Otomotif Yang Terdaftar di Bursa Efek Indonesia,” Wawasan J. Ilmu Manajemen, Ekon. dan Kewirausahaan, vol. 2, no. 4, pp. 61–72, 2024.
A. Pitriyani, “PENGARUH PENGETAHUAN INVESTASI DAN RETURN SAHAM TERHADAP MINAT MAHASISWA DALAM BERINVESTASI DI GALERI INVESTASI SYARIAH (Studi Kasus pada Mahasiswa Program Studi Ekonomi Syariah Fakultas Ekonomi dan Bisnis Islam UINFAS Bengkulu).” UIN FATMAWATI SUKARNO BENGKULU, 2024.
W. Aprilianti and E. Sisdianto, “Pengaruh Faktor Fundamental Terhadap Harga Saham Pada Kinerja Keuangan Perusahaan Yang Terdaftar Di Bursa Efek Indonesia (BEI),” J. Bisnis Kreat. dan Inov., vol. 1, no. 2, pp. 33–43, 2024.
B. V. Viktorovich, “Investment Strategies Based on Fundamental Stock Analysis,” Univers. Libr. Bus. Econ., vol. 1, no. 2, 2024.
A. Johar, “A Fundamental Analysis Approach on Evaluating Selected Media and Entertainment Companies in the Indian Industry,” Int. J. Sci. Res., 2024, [Online]. Available: https://api.semanticscholar.org/CorpusID:269809768
M. Murtaji, “Analisis Nilai Wajar Saham Dengan Metode Price Earning Ratio,” J. Akunt. dan Manaj. Mutiara Madani, vol. 10, no. 2, pp. 83–89, 2022.
A. Kumanireng, “Application of Fundamental Analysis in Stock Valuation in the Capital Market and Investment Decisions by Price Methods Earnings Ratio (PER),” Available SSRN, 2023.
A. Yadav, R. Madhavi, O. Bagaria, A. Ambulkar, and S. Sharma, “Survey on financial portfolio management’s role in investment decision-making strategies,” Multidiscip. Rev., vol. 6, 2023.
Y. Zhang, S. Bibi, and A. Dilanchiev, “Mineral and fossil fuel extraction policies: A diversified portfolio approach to managing price volatility,” Extr. Ind. Soc., vol. 15, p. 101314, 2023.
H. Kholidah, M. Maulidiyah, H. Y. Hijriah, and A. N. M. Sahiq, “STRATEGI DIVERSIFIKASI PORTOFOLIO: ANALISIS DAMPAK RISIKO DAN KEUNTUNGAN PADA BANK KONVENSIONAL DAN SYARIAH MILIK NEGARA DI INDONESIA,” e-Journal Ekon. Bisnis dan Akunt., vol. 11, no. 2, pp. 62–71, 2024.
H. Purnomo, B. Sugeng, and P. Handayati, “Strategy of Derivatives Hedging: Maintaining and Increasing Firm Value amidst Market Volatility in Indonesia,” Shafin Sharia Financ. Account. J., vol. 4, no. 2, pp. 66–84, 2024.
D. W. P. Awanda, S. P. Santoso, and M. Y. R. Pandin, “Manajemen Risiko Investasi Untuk Mempertahankan Ketahanan Keuangan Di Tengah Volatilitas Pasar,” EKOMA J. Ekon. Manajemen, Akunt., vol. 4, no. 1, pp. 1794–1807, 2024.
D. I. Anggriyanti and H. Hwihanus, “Analisis Fundamental Makro, Karakteristik Perusahaan, Terhadap Nilai Perusahaan Dengan Struktur Kepemilikan, Manajemen Laba, Kinerja Keuangan Sebagai Variabel Intervening Pada Perusahaan Manufaktur Tahun 2019-2023,” Akuntansi, vol. 3, no. 2, pp. 168–178, 2024.
S. Afinia and E. Tjahjaningsih, “Customer Satisfaction’s Influence on Repurchase Intention in Indonesia’s E-commerce Sector,” J. Inform. Ekon. Bisnis, pp. 634–639, 2024.
I. Y. Loebiantoro, E. H. Cheng, and N. Annuar, “SMART INVESTING: uNVEILING KEY DRIVERS OF STRATEGIC INVESTMENT FOR INVESTORS IN THE INDONESIA STOCK ExCHANGE,” 2025.
S. Atikah, S. A. Muhsyaf, R. S. Ramadhani, and U. Uciawati, “KOMITE MANAJEMEN RISIKO, EKSTERNAL TATA KELOLA DAN KINERJA PERUSAHAAN,” J. Apl. Akunt., vol. 9, no. 1, pp. 277–287, 2024.
A. Maulana, M. Dwita, M. Fitriyani, D. Sunaryo, and Y. Adiyanto, “Risk Management As A Determinant Of Indonesian Banking Financial Performance: A Systematic Literature Approach,” Indo-Fintech Intellectuals J. Econ. Bus., vol. 4, no. 5, pp. 2523–2537, 2024.
E. Agola and P. Ndegwa, “Risk Management Strategies and Performance of Selected Insurance Companies in Nairobi City County, Kenya,” Int. J. Bus. Manag. Entrep. Innov., vol. 6, no. 3.
K. Boardman and A. Grimes, “Traffic Accidents: The Contrasting Roles of Life Satisfaction and Anxiety,” Appl. Res. Qual. Life, pp. 1–26, 2024.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Loso Judijanto, Christine Riani Elisabeth, Febriawan Ardi Nugroho, Titik Purwaningtyas

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.