Impact of Demographic variables and Risk Tolerance on Investment Decisions – An Empirical Analysis

• Main Authors: Kavita Chavali, M. Prasanna Mohanraj
• Format: Article
• Language: English
• Published: EconJournals 2016-03-01
• Series: International Journal of Economics and Financial Issues
• Subjects: risk tolerance; demographics; investment pattern; investment decision
• Online Access: https://dergipark.org.tr/tr/pub/ijefi/issue/32008/353660?publisher=http-www-cag-edu-tr-ilhan-ozturk

This empirical study explores the investment pattern and financial decision making of individuals and their risk tolerance. The study has adopted financial risk tolerance scale proposed by Grable and Lytton to measure the different dimensions of financial risk. Kendall’s W Test is used to ascertain the preferred source of investment of individuals. Chi square test is used to determine the demographic variables and their relationship with investment pattern. The study reveals that gender has an impact on the investment pattern and decision making of respondents.