The University of Coimbra revealed the first results of the PSYCFIN research project – Business financial decisions: a psychological approach, funded by the Foundation for Science and Technology. The study analyzed how mindfulness and the regulatory focus of financial managers shape business management strategies, particularly regarding liquidity and debt policies.
The lecturer at the Faculty of Economics of the University of Coimbra (FEUC) and researcher at the Centre for Research in Economics and Management (CeBER), Filipe Coelho, explained that financial decision-making is frequently analyzed from strictly rational perspectives and based on economic and financial variables, but that research has increasingly recognized that the psychological characteristics of decision-makers play a crucial role.
The study was conducted from 449 questionnaires completed by those responsible for financial management of small and medium-sized enterprises in Portugal. The first results reveal that mindfulness plays an important role in liquidity retention.
According to Filipe Coelho, financial decision-makers with higher levels of mindfulness typically show greater emotional regulation, less impulsivity, and lower levels of overconfidence, characteristics that favor more measured and cautious decisions. The researcher added that mindfulness has been associated with greater ethical awareness, which may reinforce concern for the protection of organizational resources and encourage more conservative financial management.
