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Financial Risk Tolerance During Post-Pandemic: A Case Study Among Urban Older Malaysians

Table 2: The results of Kaiser-Meyer-Olkin, Bartlett’s Test and Principal Component Analysis

Kaiser-Meyer-Olkin Measure of Sampling Adequacy 0.868
Eigenvalues 6.561 3.208 2.082 1.500 1.140
% of variance explained 31.25 15.28 9.92 7.15 5.43
Cumulative % 69.01
FS PCB RT SN ATT
I am satisfied with my current financial situation 0.892
I am comfortable and well-off of my financial situation 0.872
I am satisfied with my current savings 0.872
I am satisfied with my current preparedness to meet emergencies 0.812
I am satisfied with my current financial management skills 0.795
Should avoid investing in companies with a poor earning history 0.841
Good stocks are companies with past consistent earnings growth 0.828
For an investment whose historical performance has been consistently outstanding, I will treat it as important 0.714
Past performance can be a helpful indicator when choosing the type of investments 0.703
When I think of the word “Risk” the term “Loss” comes to mind immediately 0.775
I am more comfortable putting my money in a bank account than in the stock market, mutual funds and bond 0.769
In term of investing, safety is more important than returns 0.756
Making money in stocks and bonds is based on luck 0.644
I make financial contributions to my children household expenses because we are living together 0.854
My family have a significant influence on my decision in buying a vehicle/insurance policy 0.773
My family is the whole approach of my life 0.726
I make financial contributions to my children household expenses if I can afford to do so 0.663
My friend has a significant influence on my investment decision and buying a vehicle/insurance policy 0.698
I have a good knowledge and skills to perform as a successful investor 0.688
I can invest in favourable financial products (bonds/mutual funds/stocks) conveniently 0.666
I can quickly identify the profitable financial products (bonds/mutual funds/stocks) 0.641
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a Rotation converged in 6 iterations.
FS PCB RT SN ATT
Cronbach Alpha (Cronbach α) 0.930 0.852 0.752 0.780 0.790
Composite Reliability (CR) 0.928 0.856 0.826 0.842 0.768
Average Variance Extracted (AVE) 0.722 0.599 0.545 0.573 0.454
Mean 3.689 3.534 3.567 0.378 2.503
Standard Deviation 0.872 0.900 0.862 0.898 0.878
Skewness -0.412 -0.594 -0.376 -0.596 0.230
Kurtosis -0.195 0.181 -0.102 0.044 -0.506
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