INVESTORS' AWARENESS TOWARDS MUTUAL FUND IN KATHMANDU VALLEY

Abstract

This research has been conducted to analyze the level of awareness on investors of Kathmandu valley towards mutual fund as an investment option. Primary objective of this research is to identify the factors that affect investors' awareness particularly the mutual fund. A quantitative survey was conducted among 395 participants aged 18 to 55 and above using structured questionnaire to gain access to their financial literacy and investment behavior. The research found that there is strong correlation between financial literacy and investment decision. Participants with higher knowledge of investment risk are more likely to seek professional help and able to select investment option with lower risk. Moreover gender is also influencing factor in making investment decision. Similarly access to technology has been significant help to investors to make quick investment decision with many available analysis tools to minimize risk and financial loss. These findings suggest that enhancing financial literacy program can lead to more informed and prudent decision making. This research is useful to launch program in financial literacy and provides space for further study in field of financial awareness as factors affecting awareness as dynamic.