Authors: Saurabh Agarwal
Addresses: Indian Institute of Finance, Ashok Vihar – II, P.O. Box 8486, Delhi 110052, India
Abstract: This paper attempts to formalise the effect of demographic variables like marital status, gender, occupation and age on the source of investment advice which in turn affect the herd behaviour of investors and probability of investment in near future. Further, postulations have been made for most preferred investment option and purpose of saving and source of investment. Impact of theoretical analysis on choice among investment alternatives has also been investigated. The analysis contributes to understanding the different investment choices made by households in India. The insights offered in the paper indirectly contribute in uncovering the various unexplained asset pricing puzzles.
Keywords: portfolio choice; behavioural finance; investor behaviour; India; securities markets; demographic variables; investment advice; investment choices; asset pricing.
International Journal of Monetary Economics and Finance, 2011 Vol.4 No.4, pp.410 - 431
Published online: 27 Oct 2011 *Full-text access for editors Access for subscribers Purchase this article Comment on this article