Investigating the Association between Managers’ Personality Characteristics and Financial Intelligence

Financial intelligence is part of the mental intelligence that is used to solve financial problems. The results of the research conducted in the field of behavioral financial studies show that managers' financial intelligence has a significant impact on their financial decisions. This research focuses on personality traits of managers, which is one of the psychological aspects of behavioral finance. Personality traits of managers are measured through five components of non-neuroticism, extraversion, acceptance, consistency and conscientiousness and its relationship with financial intelligence has been investigated. The period of research, leading to the distribution of research questionnaires, fiscal year 2017, and a statistical sample of 166 managers of companies accepted in the Tehran Stock Exchange. The first part of the questionnaire is related to personality traits and the second part is concerns financial intelligence. The results of this study, using the structural equation approach, indicate that the personality traits of extraversion, acceptance, consistency and conscientiousness have a positive and significant relationship with neuroticism, and have a negative and significant relationship with financial intelligence. Overall, research findings show that the managers with a higher level of openness to experiences and conscientiousness have the higher financial intelligence.