The Relationship between Social Networks and Micro Shareholders1

Abstract In this paper we had studied the relationship between social networks and micro (small)-shareholders, also, and we had answered this basic question that whether social networks affect shareholders decision-making for entering stock market and selling and buying the shares? If it so, which one has the greater effect? This study is a survey, studied population of which is the shareholders of Tehran stock market; 384 people had been selected randomly and had been questioned. We had analyzed the result using variance analysis method. The findings show that, there are some social networks which effect participating of shareholders in stock market including: social networks of friends and acquaintance, social network of relatives and kinsfolk, social network of Internet, social group of ethnicity. They had the strongest effect. The strongest networks which affect decision-making about selling and buying the shares are, respectively: social network of coworkers in stock market, social network of friends and acquaintance, social network of relatives and kinsfolk. We concluded that social and economic policy-makers in course of stock market expansion, can support the effective social networks of stock market and equip them with information, or, establish (virtual informative)networks in stock market