A STUDY OF INVESTMENT CHOICE OF AN INDIVIDUAL IN NAGPUR REGION

OBJECTIVES OF THE STUDY

To study the dependence/independences of the demographic factors (Gender, Age etc.) of the investor and risk taken by them. To develop a profile of sample individual investor in terms of their demographics. To identify the objective of investment plan of an Indian individual investor. To know the preferred investment avenues of the Indian individual investor. To know the extent of financial literacy of individual investors. To identify the preferred sources of information influencing investment decisions. To know the risk tolerance level of the individual investor.

ABSTRACT
Despite loads of information bombarding from all directions, it is not the cold calculations of financial wizards, or companys performance or widely accepted criterion of stock performance but the investors irrational emotions like overconfidence, fear, risk aversion, etc., seem to decisively drive and dictate the fortunes of the market. This report indicates that the association between profile of the respondents-Age, Gender, Religion, Qualifications, Income and Occupation, and the risk taken while making investments is not significant. A study of 100 respondents revealed that though majority have preferred low risk investments, considerable number have gone

for high risk investments. This could be because of the awareness created among Indian individual investors regarding investment avenues and investment climate. Television is the media that is largely influencing the investors decisions. The financial institutions may capture this kind of investment climate and infuse confidence among investors by being ethical and transparent. With the growing regulatory role of SEBI, growth of financial institutions, and investor education, there seems to be a change in the mindset of individual investors.

METHODOLOGY AND DATA COLLECTION

The present study is based on primary data collected from 100 respondents with the help of a questionnaire has six main categories of items related to investment i.e. Bonds or fixed income securities, Money Market Instruments , Non-marketable financial assets , Real estate, Precious objects , Insurance Policies.

FINDINGS

DATA ANALYSIS AND INTERPRETATION STATISTICAL DATA

This will be done on the basis of our research and survey with the help of questionnaire.

LIMITATIONS OF THE STUDY

Sample size is limited to 100 investors in Nagpur city. Simple Random and judgement sampling techniques is due to time and financial constraints.

The survey might not be able to distinguish between the influence of discrimination and individual choice as well as the determinants of choice.

IMPLICATIONS We will analyze how the investment pattern of an individual on the basis of demographic characteristics. We will come to the conclusion that which kind of risk patterns (low, medium, high) the individual gets indulged in.

Submitted By, Parag Agrawal MBA Final year (Finance and Marketing) RCOEM Affiliated to Nagpur University Mob-9823300150 Email-paragagrawal15@yahoo.com Priya Sharma MBA Final Year (Finance and H.R) RCOEM Affiliated to Nagpur University Mob-9371419507 Email-sharma89priya@gmail.com