This study explores how personality traits, specifically conscientiousness and openness, interact with locus of control to shape financial bandwagon behavior. Integrating insights from behavioral finance and personality psychology, we employ an ordered probit model to examine how Big Five personality traits and perceived control influence individuals' tendency to follow the crowd in financial decision-making. Findings reveal that both conscientiousness and an internal locus of control are negatively associated with financial bandwagon behavior. However, the interaction effect suggests that a strong external locus of control can override the cautious nature of conscientious individuals, increasing their likelihood of bandwagon participation. This nuanced relationship highlights that even disciplined, risk-averse individuals may conform to herd behavior when they perceive limited personal agency over outcomes. These results underscore the importance of considering both stable personality dimensions and situational cognitive frames when analyzing financial behavior. Practical implications include tailoring financial education and advising strategies to account for individual differences in personality and perceived control. Financial professionals and policymakers can leverage these insights to design interventions that mitigate irrational investment behaviors and enhance decision quality.

Accepted Oral Presentation