FINANCIAL LITERACY AND INVESTMENT DECISION IN NEPALESE SHARE MARKET

Abstract

The objectives of research is to examine the current position of financial literacy and investment decision in Nepalese share market, to analyze the relationship between financial literacy and investment decision in Nepalese share market, to analyze the impact on financial literacy of investment decision of Nepalese share market. The various article and thesis are reviewed from the google scholar and Shanker Dev Library. The article reviewed developed the conceptual framework with Dependent variables is investment decision and independent variable personal saving, financial behaviors, financial attitude, financial skill, and financial knowledge. The descriptive and casual comparative research design is used. SPSS and Excel are the tools of data analysis. Total investors of the Kathmandu valley are the population of the research and the sample are the 450 as a convenience sampling techniques used. Primary source of data are used and they are collected using questionnaire survey. The analysis methods are descriptive statistics, correlation analysis and multiple regression analysis. The tool for analysis are excel and SPSS. The finding of the research is that variables of the research is consistence or less fluctuating nature. The relationship between financial knowledge, financial behaviors, financial skill and financial attitude is positive and significant with investment decision of the research. The relationship between personal saving and investment decision is positive but not significant. The impact of financial knowledge and personal saving to the investment decision is negative and significant. The impact of financial skill and financial attitude to the investment decision is positive and significant. The impact of financial behavior and investment decision is negative but not significant. Keywords: Financial Knowledge, Financial Behaviors, Financial Skill and Financial Attitude, Personal Saving and Investment Decision