EFFECT OF FINANCIAL LITERACY ON INVESTMENT DECISIONS IN KATHMANDU VALLEY
Date
2024
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Shanker Dev Campus
Abstract
This study examines the effect of financial literacy on investment decisions: a case of
Kathmandu valley. The study has used descriptive and casual comparative research
design. The sampling technique for the study followed convenience sampling. Data
have analyzed by using different statistical technique such as descriptive statistic,
correlation analysis and regression analysis. This study found that investors agreed
that financial knowledge and financial skill highly affects their investment decision of
investors and they believe that their decision is also high. The correlation analysis
shows that the correlation analysis reveals that shows that there is significant position
association between financial knowledge and investment decision. Similarly, financial
attitude has significant positive relationship with investors’ investment decision. At
the same time, there is significant positive association between financial skill and
investment decision. Moreover, financial behavior has significant positive relationship
with investment decision. The regression analysis shows that there is significant
positive effect of financial knowledge on investment decision. Then, there is also
significant positive effect of financial attitude on investment decision. At the
meantime, financial skill has significant positive impact on investment decision.
Finally, financial behavior has significant positive effect on investment decision.
However, financial literacy has significant impact on investors’ investment decision
in Nepalese stock market.