1FMS-WISDOM, State Bank of India School of Commerce and Banking, Banasthali Vidyapith, Rajasthan, 304022, India
2Assistant Professor, Institute of Marketing and Management, Delhi-110016, India
3Assistant Professor, FMS-WISDOM, Banarsidas Chandiwala, Institute of Professional Studies and Research Scholar, Banasthali Vidyapith, Rajasthan-304022, India
*Email id: sakshiisaxena@gmail.com
Online published on 3 September, 2014.
Investors are always assumed to be rational creatures. Prior to investing their hard earned money, investors analyze the market plausibly by using various approaches like technical, fundamental, Capital Asset Pricing Model (CAPM), Arbitrage Pricing Theory (APT), etc. Nevertheless, some investor wins the game, while others lose it. This volatile behavior of markets has challenged the hypothesis of efficient markets which motivates us to understand the driving forces behind it. It is the major concern for academicians, investors and portfolio managers to understand the reasons causing irrationality in the markets. Academicians brought out few behavioral biases into existence which are required to be studied. The present paper is an attempt to have an insight about key factors influencing the behavior of retail investors with respect to demographics in relation to their investment and their decision making process.
The opinion survey was conducted on 228 retail investors investing in the stock market belonging to Delhi & NCR region. Data have been analyzed using statistical tools like percentage and chi-square test and factor analysis.
Awareness of Investment Options, Chi-square test, Efficient Market Hypothesis, Factor Analysis, Investment Decision Making
