The Experts below are selected from a list of 13089 Experts worldwide ranked by ideXlab platform
Aparna Samudra - One of the best experts on this subject based on the ideXlab platform.
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an analytical study on association of demographic factors with Risk Tolerance Level of investors of nagpur
Social Science Research Network, 2020Co-Authors: Aparna SamudraAbstract:Rational investor is Risk averse, but the willingness to accept unfavourable changes in the returns of an asset differs from person to person. This willingness which is known as Risk Tolerance is influenced by many factors. The main purpose of this study is to understand and analyse the relation between demographic variables and Risk taking capacity of individuals. The sample size for the study was 521 retail investors of Nagpur City in India. The statistical tools like Kruskal Wallis Test, Mc.Nemar Test and Chi-square were used to test the hypothesis. The data analysis indicated that demographic parameters like gender, education, monthly income, occupation and % of income invested have an association with the Risk Tolerance Level. It was also observed that there is a difference between perception of investors regarding investment of earned income and investment of inherited money. Risk Tolerance was found to be significantly related with Level of education and income but not with age. Men were found to be more Risk tolerant than women and similarly type of profession also had a significant relationship with Risk Tolerance of the investors.
S. Pardhasaradhi - One of the best experts on this subject based on the ideXlab platform.
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Assessment of Risk Tolerance Level of Indian individual equity investors An empirical analysis
JIMS8M: The Journal of Indian Management & Strategy, 2014Co-Authors: Syed Tabassum Sultana, S. PardhasaradhiAbstract:Return and Risk are part of investment decision. The relationship between Risk and return is direct with higher returns associated with higher Risk while lower Risk will mean lower returns. Many Investors are clueless about their natural ability to take Risk and their disposition towards facing Risky prospects. Investors may not differ in their objectives and knowledge about their investments, however differ significantly in their propensity to take Risk or tolerate Risk present in their investment decisions. Thus, Risk Tolerance is a crucial aspect of the shrewd art of investing. The present paper traces various financial Risk Tolerance Assessment methods and presents the dynamics and intricacies of each method to assist the equity investors who undertake high investment Risk. Further, it scientifically assesses the financial Risk Tolerance Level of Indian Equity investors. The equity investors are profiled into five categories: Low Risk, Below average Risk, Moderate Risk, Above average Risk and High Risk Tolerance based on responses to questions characterising investment decisions. This empirical study on Indian investors has some profound implications for equity investors, investment managers and brokerage firms. The investment product designers can design array of products which can cater to the investors who can incur low and moderate as majority of the Indian equity investors’ are found to be moderate Risk takers. The brokerage firms also can advice their clients in choosing less volatile stocks based on their ability and willingness to take Risk.
S. Parvathi - One of the best experts on this subject based on the ideXlab platform.
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Equity Investors Risk Tolerance Level During the Volatility of Indian Stock Market
2014Co-Authors: D. Suganya, S. ParvathiAbstract:Risk Tolerance refers to an investor’s attitude towards Risk, the amount of uncertainty or investment returns volatility that an investor is willing to accept when making a financial decision. The Risk Tolerance of an investor varies according to age, financial goals, income requirements,etc. Understanding the Risk Tolerance Level of the investor is an important concept that has implications for both financial service providers (asset management institution or other financial planner) and consumers (investors themselves). The study was conducted with the objective to know the investment behavior of the equity investors, their investment motive, to assess the Risk Tolerance Level of equity investors during the stock market volatility and to identify the factors associated with the Risk Tolerance Level of equity investors. The study revealed that more number of respondents belong to the Medium Risk Tolerance Level. It is also revealed from the study that the demographic factors such as Age, Occupation, Annual income, and Portion of income invested in equity are few of the factors associated with the Risk Tolerance Level of Equity investors.
Omoruyi Aigbovo - One of the best experts on this subject based on the ideXlab platform.
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assessing financial Risk Tolerance Level of individual investors do demographic factors matter
Nigerian Journal of Risk and Insurance, 2020Co-Authors: Osariemen Aigbovoomoruyi, Omoruyi AigbovoAbstract:The paper investigates the influence of demographic factors such as gender, age, marital status, Level of education, occupation, and income on the financial Risk Tolerance of individual investors in Nigeria. A survey research design was adopted and all the staff, students, and owners of business centers in the University of Benin who have invested in shares in the Nigerian Stock Market constitute the population of the study. The study targeted a convenient sample of 70 respondents through a snowball sampling technique (i.e., the first respondent was asked to recommend a colleague or friend who has invested in shares in the Nigerian Stock Market until the required sample is gotten). Out of the 70 questionnaires administered 60 were found usable. Analysis of data was carried out using a t-test, Analysis of variance (ANOVA), and regression. Statistical Package for Social Sciences (SPSS) version 22 was used to conduct all the analyses. The study found that the majority of respondents (investors) belong to the average/moderate Risk Tolerance group. Results of the t-Test and ANOVA analyses indicated that while there was a significant difference in financial Risk Tolerance Levels according to gender and income, there were not meaningfully different in financial Risk Tolerance Levels as to the age, marital status, educational Level, and occupation. The regression analysis reveals that three demographic variables (gender, marital status, and income) significantly affect the financial Risk Tolerance Level of individual investors. The study, therefore, recommends among others that financial service providers need to frame their products according to investors' Risk-taking capacity which definitely will increase market efficiency as well as investors' confidence.
M. Martin Selvakumar - One of the best experts on this subject based on the ideXlab platform.
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An analysis on the factors influencing Risk Tolerance Level of individual investors
International Journal of Business Excellence, 2016Co-Authors: S. N. Geetha, M. Martin SelvakumarAbstract:Risk Tolerance had been gaining renewed research interest in recent years. Most of the investment decision-making models prevailing in the market use Risk Tolerance of investors as one major input to determine the investment plans. Owing to such prime importance, it proves to be essential to understand the factors which have significant influence on the Risk Level of individual investors. Though there are general heuristics that form the basis for most of the decisions made by investment managers, there had always been a word of caution noting on the Level of reliability of such heuristics. This research study aims to determine if those general assumptions related to the influence of demographic variables on the Risk Tolerance Level of individual investors are really true, with specific reference to Indian investors in the capital markets. It was concluded through the findings of the study that the general heuristics related to all demographic variables except gender, occupation and income Level of investors are found to be false. It was further concluded that only gender and income Level of investors were significantly influential in determining the Risk Tolerance Level of individual investors.
