Resumen de An Empirical Investigation of Retail Investors’ Sentiments: Role of Demographics

Shivani Bajaj, Ankit Saxena

• Purpose: This paper is an explicit effort to explore the various tenets of Investors’ sentiments in Indian context. The purpose of this paper is to examine the Investors’ Sentiments and to know how investors sentiments affects the choices made by retail investors and to know how demographic characteristics drive investment decisions of individuals.

    Methodology: In carrying out this research study a descriptive design is used. A sample of 683 respondents (retail investors) were selected as part of a sample utilizing the snowball (chain referral) method of sampling. The instrument used for collecting primary data is a well-structured questionnaire and it consists of demographic profiles of respondents.

    Findings: The attitude of investors’ towards investment decision is influenced by perceived returns, price sensitive information, perceived economic indicators, investors’ confidence and herd behavior. These results emphasize the significance of individual propensities in determining a person’s level of sentiments.

    Implications: This study will help financial advisors to better understand the attitudes and behaviors of their clients and also be significant for financial institutions, given to positive economic effects of development of financial sector.