Effect of IT Trading Platform on Financial Risk-Taking and Portfolio Performance

As a fast growing area in Finance, Information technology (IT) plays an important role in how traders trade online. Investigating whether online trading has a significant effect on financial returns and risks is central to this inquiry. This study, using perceived usefulness and satisfaction categories, addresses how the IT trading platform affects the trader´s trading risk-taking behavior and stock portfolio performance. We examined two unique data sets: 2,726 proprietary online trading accounts and 178 professional investors´ field survey. The results revealed that while the perceived usefulness category presented significant differences between the risk-taking groups and significant impact on stock portfolio performance, the satisfaction category showed no significant results.