Title: Determinants of mutual fund investment decision by second cycle teachers in Kumasi metropolis, Ghana

Authors: Dadson Awunyo-Vitor; Felix Kwame Aveh; Samuel Donkor; Isaac Addai

Addresses: Department of Agricultural Economics, Agribusiness and Extension, College of Agriculture and Natural Resources, Faculty of Agriculture, Kwame Nkrumah University of Science and Technology, Kumasi, Ghana ' Department of Accounting, Finance, Economics and Research, Ghana Institute of Management and Public Administration (GIMPA), Achimota, Accra, Ghana ' Ghana Highways Authority, P.O. Box 416, Nyohini, Tamale, Ghana ' Department of Accounting Studies Education, College of Technology Education, University of Education, Winneba, Kumasi Campus, Ghana

Abstract: This study investigated factors influencing teachers' mutual fund investment decision using second cycle institution teachers in the Kumasi metropolis. Two hundred and fifty-two respondents were sampled for the study. A well-structured questionnaire was used in collecting data from the respondents. Descriptive statistics such as mean, percentages and the frequency distribution table were used in analysing the data. In addition, the logistic regression model was employed to identify factors influencing respondents' decision to invest in mutual funds. From the study, it was found that 68.75% of the total number of respondents are aware of mutual fund as an investment option and 50% of them got to know of it through the advertisement of mutual fund products and services. From the logistic regression model, marital status, family size, other source of income and financial education had a positive relationship with mutual fund investment decision. The study therefore recommends that mutual fund companies should continue with the advertisement as it has made many aware of mutual fund as investment option particularly, teachers in second cycle institutions. Furthermore, teachers should be encouraged to engage in backyard gardening and extra classes in order to generate additional income to support their investment in mutual funds.

Keywords: mutual funds; teachers; logistic regression modelling; Ghana; mutual fund investments; investment decisions; marital status; family size; other income sources; financial education; additional income generation.

DOI: 10.1504/AJAAF.2015.075124

African Journal of Accounting, Auditing and Finance, 2015 Vol.4 No.4, pp.328 - 344

Received: 20 Aug 2015
Accepted: 20 Aug 2015
Published online: 03 Mar 2016 *

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