Dynamics of Risk Perception Towards Mutual Fund Investment Decisions

Document Type : Research Paper

Authors

1 Faculty of Management Studies, ICFAI University Tripura Kamalghat-799210 Tripura, India

2 Department of Management Studies, Indian Institute of Information Technology Allahabad-211012 Uttar Pradesh, India

Abstract

The present paper measures the risk perception of the bank employees in respect of investment in mutual fund and to identify the factors affecting risk perception. The paper also attempts to find out the impact of these factors on overall risk perception. The study is based on primary data collected by using questionnaire from the bank employees in Tripura state of India. For the analysis of data, Cronbach’s alpha, factor analysis, binary logistic regression, mean and standard deviation, and etcetera are used. It is found that bank employees’ overall level of risk perception is moderate. There are three factors that affect the overall risk perception namely fear psychosis, lack of knowledge, and lack of confidence and these three factors have impact on the investment decision employees are making with regard to investment in mutual fund. The study is the first of its kind and hence original in nature.

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References

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Interdisciplinary Journal of Management Studies (Formerly known as Iranian Journal of Management Studies)
Volume 11, Issue 2
April 2018
Pages 407-424

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