INVESTIGATING MEDIA AND COMMUNICATION CHANNEL SEARCH BEHAVIOUR OF RETAIL INVESTORS FOR INVESTMENT DECISION IN EMERGING FINANCIAL MARKETS

2021 ◽  
Vol 14 (8) ◽  
pp. 34-45
Author(s):  
Atul Shiva ◽  
Monica Sethi ◽  
Diksha Ahuja ◽  
Kritika Sharma
Keyword(s):  
Financial Markets ◽  
Mutual Funds ◽  
Mutual Fund ◽  
Word Of Mouth ◽  
Investment Decision ◽  
Search Behaviour ◽  
Financial Advice ◽  
Effective Manner ◽  
First Choice ◽  
Word Of Mouth Communication

The purpose of this study aims at investigating the major sources of information which drives the investor’s behaviour in investment decisions in Indian Financial Markets. Diverse sources are classified into three categories, that is, financial advice, word-of-mouth communication and specialised press to investigate their effects on the investment behaviour of investors. A total of 258 investors filled a survey on a questionnaire in the National Capital Region of India by using the purposive sampling method. For analysis of data, PLS-SEM was applied on the software version 3.2.9. The key outcome of the study revealed that financial advice was considered as first choice (β = 0.265, p<0.000) to build their investment decision primarily on weekly basis followed by word-of-mouth communication (β = 0.154, p<0.05). Lastly, the mutual fund investors prefer financial newspapers and financial reports published by mutual fund regulatory body and their companies in India to do mutual funds investment. This study proposed a conceptual model in the literature of information search behaviour for mutual funds and contributes significantly to the mutual fund companies and investment agencies to market financial products in an effective manner for investors.

A Study on Investment Decision of Investors With Reference to Penetration of Mutual Funds in India

2016 ◽  
Vol 5 (2) ◽  
Author(s):  
Ratish C Gupta ◽  
Dr. Manish Mittal
Keyword(s):  
Decision Making ◽  
Real Estate ◽  
Mutual Funds ◽  
Capital Markets ◽  
Mutual Fund ◽  
Financial Services ◽  
Investment Decision ◽  
Fund Industry ◽  
Mutual Fund Industry ◽  
The Impact

The Indian mutual fund industry is one of the fastest growing and most competitive segments of the financial sector. The extent of under-penetration in the market is a sore point with the financial services industry, with a large amount of savings being channelized into fixed deposits, gold and real estate rather than the capital markets. The mutual fund industry is yet to spread its reach beyond Tier I cities. The top fifteen cities contribute to 85% of the pie, with the remaining 15% distributed among other cities. The study seeks to determine the impact of decision making of investors on current situation of mutual fund industry.

scholarly journals EFFECT OF FINANCIAL LITERACY, RISK ATTITUDE AND SAVING MOTIVES TO DISPOSITION BIAS ON MUTUAL FUNDS INVESTORS

2021 ◽  
Vol 2 (1) ◽  
pp. 27-33
Author(s):  
Jennifer Saputra ◽  
Dewi Astuti ◽  
Dewi Pertiwi
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Financial Literacy ◽  
Investment Decision ◽  
Risk Attitude ◽  
Binary Logistic Regression ◽  
Human Needs ◽  
Investment Decision Making ◽  
Considerable Impact ◽  
Spss Software

Investment is significant to prepare human needs in the future. To make investment decisions, investors will try to make their decisions as rationally as possible. However, one cannot deny that some irrational factors or biases also influence investment decision-making. This study examines financial literacy, risk attitude, and saving motives on disposition bias of mutual fund investors. The sample used is mutual fund investors, and the respondents themselves make decisions to sell or buy mutual funds. The total of respondents is 116 respondents. The regression method used in this study is binary logistic regression using SPSS software. This study found that financial literacy and risk attitude has a significant effect on disposition bias. Meanwhile, the variable saving motives have no considerable impact on disposition bias.

scholarly journals The impact of country-level and fund-level factors on mutual fund performance in Vietnam

2019 ◽  
Vol 21 (1) ◽  
pp. 42-56
Author(s):  
Hoa Thi Nguyen ◽  
Dung Thi Nguyet Nguyen
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Investment Decision ◽  
Political Stability ◽  
Fund Performance ◽  
Data Set ◽  
Policy Makers ◽  
Content Type ◽  
Country Level ◽  
The Impact

Purpose The purpose of this paper is to examine the determinants of mutual funds’ performance at both a country level and a fund level in Vietnam. Design/methodology/approach The different types of funds with more than three-year operation are selected to remove outliers of the stock market boom from 2015 to 2018. The data set includes 54 mutual funds operating during the period from 2008 until November 2018. Findings The research finds that there is a positive relationship between macroeconomics and mutual funds’ performance. Furthermore, country-level governance such as regulation effectiveness, political stability, economic growth and financial development has a positive correlation with mutual funds’ performance. However, the impact of fund-level factors is diverse with the no significant impact of board size on mutual fund’s performance, while passive funds perform better than active funds in Vietnam. Practical implications The research results suggest that investors should pay attention to the types of funds and operating expense when making an investment decision in mutual funds. There are some recommendations for both government policy-makers and the mutual fund industry that are likely to facilitate the development of this field in Vietnam. Originality/value The research contributes to the understanding of what are the factors that should be considered when investing in mutual funds.

Mutual Funds

GIS Business ◽  
2019 ◽  
Vol 14 (4) ◽  
pp. 201-208
Author(s):  
Sonal Kumawat ◽  
Hemraj Kumawat ◽  
Vaishali Sharma ◽  
Pooja Verma ◽  
Priyanka
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Investment Decision ◽  
Indian Government ◽  
The Past ◽  
Adequate Knowledge ◽  
Investment Decision Making ◽  
Fund Industry ◽  
Mutual Fund Industry ◽  
Unit Trust

The Indian mutual fund industry witnessed a remarkable performance in the past 30 years. After independence, with the joint effort of the Indian government and the Reserve Bank of India, the establishment of Unit Trust of India marked the beginning of the mutual fund industry in India. With the opening of mutual fund industry in India, investors started taking the advantage of multiple investment opportunities. This leads to increase in savings to the funds along with banks. Mutual funds have given consistent favorable returns over the past year despite of slow growth. For making an investment in a highly sophisticated and complex financial market, investors need the support of financial experts to take an informed decision. These financial experts are mutual funds who act as an intermediary. Association of Mutual Funds in India is established to protect the interests of mutual funds along with its unit holders and to ensure the development of Indian mutual fund industry on ethical and professional lines. Today, investors prefers to invest in mutual funds amongst other investment options as mutual funds ensures protection of their interest by making an optimum investment decision making. Investment in mutual funds proved to be advantageous to those investors who are ready to take higher risk in order to earn higher return but they lack adequate knowledge of the market.

Mutual fund investor’s behaviour towards information search and selection criteria

2018 ◽  
Vol 10 (4) ◽  
pp. 395-414 ◽  
Author(s):  
Inderjit Kaur
Keyword(s):  
Mutual Funds ◽  
Information Search ◽  
Mutual Fund ◽  
Selection Criteria ◽  
Selection Process ◽  
Sources Of Information ◽  
National Capital Region ◽  
Search Behaviour ◽  
Content Type ◽  
Search And Selection

PurposeThe fund selection process of investors in a mutual fund needs to be understood for designing better marketing strategies. Knowledge and perception about the mutual funds can affect investor’s behaviour towards information search and selection criteria during the decision process. Therefore, this study aims to examine Indian mutual fund investors under the framework of Theory of Planned Behaviour and consumer’s behaviour model.Design/methodology/approachThe data have been collected from mutual fund investors in the National Capital Region–Delhi, India, through structured questionnaire. The collected data were examined with relevant statistical tools.FindingsKnowledge and perception affect information search behaviour of the investor. Investors having better knowledge of mutual funds access impersonal sources of information and performance of fund affects their choice, whereas investors having lesser knowledge of mutual fund take advice of experts and select funds based on fund characteristics. Investors with better return perception for mutual funds ignore performance as selection criteria, whereas investors having poor risk perception tend to reduce their bias by accessing personal sources of information. Education and income of investor affect knowledge and perception of mutual funds.Practical implicationsThe financial advisor-driven investors ignore performance as selection criteria and could lead to dissatisfaction later. Therefore, to make the industry investor driven, mutual funds need to focus on improving the knowledge of investors.Originality/valueThis paper shows the unique effect of knowledge and perception on information search behaviour of investors towards mutual funds. The knowledgeable investor selects mutual funds by understanding all risks and benefits.

Determinants of Mutual Funds Investment Intentions: Big Five Personality Dimension

2018 ◽  
Vol 11 (1) ◽  
Author(s):  
Sachit Paliwal ◽  
Shraddha Bhadauria ◽  
Subhash Pratap Singh
Keyword(s):  
Mutual Funds ◽  
Big Five ◽  
Mutual Fund ◽  
Focal Point ◽  
Investment Decision ◽  
Big Five Personality ◽  
Personality Dimension ◽  
Personality Predictors ◽  
Investment Intentions ◽  
The Impact

Purpose:Over the past several decades the behaviours of investors have been the focal point of many researchers to understand the psychological antecedents for investment decision. This paper attempts to examine the impact of specific personality traits on investment intentions to purchase mutual funds with specific focus on the Big Five personality taxonomy.Design/Methodology/Approach:To scrutinize the specific personality predictors, this study employs the multiple regression using theory of planned behaviour (TPB). Findings:The research indicated that individuals who are extraverted intend to engage in mutual fund investment, while those who are higher in neuroticism less intended to engage in this activity. In addition to this,Individuals who are higher on agreeableness are also intended to engage in mutual fund investment.Managerial Implications:The study will aid mutual fund providers to manage the portfolio of mutual fund according to investors'personality traits. Scope for further research / Limitation:Due to time constraints, the study is confined to Delhi-NCR only. The study can considered as a pilot study and could be further explored to more cities in India.

The Performance of CSR Mutual Funds and Investment Decision-Making

2016 ◽  
Vol 1 (2) ◽  
pp. 229
Author(s):  
Jen-Der Day ◽  
Thuy Mai Trinh Nguyen ◽  
Chia Nan Wang ◽  
George Yungchih Wang
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Investment Decision ◽  
Statistical Significance ◽  
Forecast Accuracy ◽  
Sharpe Ratio ◽  
Decision Table ◽  
Information Ratio ◽  
Investment Funds ◽  
Investment Decision Making

<p>Nowaday, Corporate Socially Responsible (CSR) mutual funds are becoming a popular investment option for investors. However, no any research confirms whether CSR Mutual fund activity is better than market index or not. Besides, we should have one method can help con sequently investors in making the decision to select appropriate investment funds. In this study, we measure the financial performance of a sample of 15 CSR mutual funds in the world, with the monthly return over the period 2008-2013, then we propose the dession table. We first use the measures to evaluate the performance of mutual funds such as Alpha (α), Sharpe Ratio (SR), and Information Ratio (IR). And then, we use the obtained decision table to evaluate the predictability by each measure. The results indicate that only 3 of the 15 CSR mutual funds achieve good performance results based on the statistical significance of the two measures Sharpe Ratio and Information Ratio. In addition, the IR is suggested to evaluate and make investment decisions in the future and it also is the best one among the three measures. The decision table suggest investors a measure forecast accuracy way.</p>

scholarly journals Performance of Public Mutual Funds (PMFs) in Emerging Economies: A Case of Bangladesh

2016 ◽  
Vol 11 (6) ◽  
pp. 296
Author(s):  
Leo Vashkor Dewri ◽  
Md. Rashidul Islam
Keyword(s):  
Mutual Funds ◽  
Mutual Fund ◽  
Investment Decision ◽  
Fund Performance ◽  
Dividend Payout ◽  
Asset Value ◽  
Price Earnings Ratio ◽  
Fund Size ◽  
Better Than ◽  
Fund Return

<p>Public Mutual fund (PMF) is an instrument for pooling the funds by issuing units to the investors and investing funds in the capital market to achieve their objectives. To invest in mutual funds is a complicated trade for investors as individual assets are belongs to verity of risks and they are dubious on return on investment. There are only 43 Mutual Funds are available to choose from where the investors can invest. To take the investment decision, the investors need to know which funds are performing better than others, gives more return, which fund is more risky etc. In this study the performance evaluation of public mutual funds carried out by considering fund age, fund size, fund return, fund dividend payout, fund price earnings ratio and fund net asset value (NAV). There are only eight PMFs are available in Bangladesh. For analysis purposes the study investigates 1999 to 2015 operations of PMF. Therefore, this study analyzes 128 a firm years, for measuring PMFs performance. The study reveals that fund size, fund return, fund dividend payout and P/E ratio has significant relation on fund performance. Whereas, fund age and fund NAV has insignificant relation on fund performance.</p>

scholarly journals Analisis Kinerja 14 Reksa Dana Saham Terbaik Periode 2010

2011 ◽  
Vol 2 (1) ◽  
pp. 216
Author(s):  
Yen Sun
Keyword(s):  
Performance Evaluation ◽  
Mutual Funds ◽  
Capital Market ◽  
Mutual Fund ◽  
Investment Decision ◽  
Investment Activity ◽  
Methods Of Evaluation ◽  
One Year ◽  
Risk Free Rate ◽  
Free Rate

Capital Market is a significant indicator of an economy for a country. However, in Indonesia many people are not familiar yet with the investment activity in capital market. The writer is then interested to study the performance of the best (15) mutual fund (shares) 2010 version of Investor Magazine for the next period investment decision in 2011. The research will be focused on several stages. First, it will compute the return for 14 mutual funds, market return and risk-free rate for one year period. Then, the performance will be evaluated using Sharpe, Treynor to find which mutual fund outperform the market. Also, each method will result rank of the best mutual fund. Furthermore, there is one more method will be used in performance evaluation, Jensen. The result of this study is there are two mutual funds that can be recommended for investment in 2011, they are Panin Dana Maksima and Panin Dana Prima. They are recommended because the two mutual funds showed the best performance for those three methods of evaluation and they can maintain their performance for more than one period. 

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