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Determinants of Investment Avenues: A Behavioural Study of Retail Investors
Andhra Loyola College(A), Vijayawada-520008, NTR District, India.
Abstract
Investment means putting your money to work for you. It is a different way to think about how to make money. Growing up, most of us taught that you could earn your income only by getting job & working. And that’s exactly most of us do. This study is about to identify the retail investors investment pattern and their preferences of investment. In this study different factors such as investors risk and return preferences taken. Investors demographical factors such as age, gender, educational qualification, occupation, annual income for investment preference towards various investment avenues preference of mutual funds and find out the purpose and objectives of the investment. The current study makes use of a descriptive research design and convenience sampling of 120 participants in the evaluation of the risk profiles and determinants of the selection of mutual funds. By utilizing a strong statistical model, the study is able to ascertain the level of influence of certain investment objectives and demographic factors on the selection of the scheme through the evaluation of the Chi-square, correlation, and regression analyses. The findings of the study identified occupation as the only demographic factor that was statistically significant for investment preference, while age, gender, education, and income were all found to be non-significant. Moreover, the correlation and Chi-Square tests show that investor attitude is not significantly related to investment preference or the factors of investment decision-making.
Keywords: Retail Investors, Investment Preferences, Behavioural Finance, Investment Avenues, Demographic Factors.
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