Financial Literacy and Investment Behaviour among Youngsters of Higher Educational Institutes of India (Uttar Pradesh, Bihar, Jharkhand, Odisha and Chhattisgarh)
Author
Mohammad Saduddin Atahar, Dr. Suresh Kumar Pattanayak
Abstract
In today’s fast-changing financial world, understanding how money works is no longer optional, it has become a basic life skill. This is especially true for young investors who are now expected to take responsibility for managing their own finances and making important investment decisions. This study explores how financial literacy influences the investment behaviour of young individuals by using both primary data and insights from existing studies.The research is based on a survey where we got response from around 250 people. Most of the people who answered our survey were young between 18 and 25 years old. What we found out is that a lot of people know about simple money things like inflation and compounding. Financial concepts, like taxes and financial regulations and how markets work are not really understood by young people.The study also shows that young investors feel at ease with safe choices such as fixed deposits and mutual funds. They do not know much about financial tools like crypto currencies and stock trading. Young investors are more comfortable with risk- options like fixed deposits, government bonds and mutual funds. They are not familiar with financial instruments, like cryptocurrencies and stock trading. More than half of the people who answered the survey are already investing, but they usually only invest a little bit of money because they don't have a lot of money and they make careful decisions.Another important finding is that social media and digital platforms like Instagram, Youtube and Telegram have a big effect. Today's young investors get their financial advice from friends, online sources and influencers instead of professionals. This shows how technology is changing the way people invest today.In conclusion we find that youngster financial literacy has a big effect on how they invest. If the lesson about money learnt through self-learning and practice, using digital tools and investors awareness programs, they would make better and more confident financial decisions in the future.
Keywords
Young Investors, Financial Planning, Financial Literacy, University Students, Investment decisions, Investment behaviour, Financial awareness, Risk preference, Personal finance management.
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References
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