A STUDY ON INVESTMENT DECISIONS OF A COMMON MAN IN PUNE CITY

Individual saving and investment has always been a stimulus for the economic growth of the country. It has catalyzed the capital formation and has accelerated the productive growth. Today most of the developed economies are witnessing a declining saving and investment pattern but India is still on a steady pace of investment and savings. An investment refers to the commitment of funds at present, in anticipation of some positive rate of return in future. Today the gamut of investment is indeed wide. The individual investor has a wide array of options for investments, right from a secured debt oriented instrument to a high-risk-prone equity instrument. In a nutshell, an individual investor has a platter full of investment avenues. The understanding of common man’s investment is just not significant from the perspective of the individual investor but is also significant for the financial institutions that need to have a fair understanding of the behavior and attitudes of these investors and factors affecting these decisions. This study has been undertaken to analyze the investment pattern of a common man. The focus is on the factor which affects their decision making. An attempt has been made to study the demographics and psychographics of the investor considering the parameters like age, gender and income groups and also some psychological parameters that will attract the investor towards that particular investment.