1

University Of Mumbai

“A Study of Investment and Saving Technique of Employed Women

in Mumbai”

Semester VI A

Project Submitted to

University of Mumbai for Partial completion of the

Degree of Bachelor in Commerce (Accounting and Finance)

By

Ms. Anshula Suresh Motiram

Under the Guidance of

Prof. Aksa Memon

Cosmopolitans’s

Valia C.L. College of Commerce &Valia L.C. College of Arts D.N.

Nagar, Andheri (West), Mumbai-400053.

March 2019-20.
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CERTIFICATE

This is to certify that MS. ANSHULA MOTIRAM has worked and duly completed
her Project Work for the degree of BACHELOR IN COMMERCE
(ACCOUNTING & FINANCE) under the Faculty of Commerce in the subject of
ACCOUNTANCY and her project is entitled, “A STUDY ON INVESMENT AND
SAVING PATTERN OF EMPLOYED WOMEN IN MUMBAI’ under my
supervision.

I further certify that the entire work has been done by the learner under my guidance
and that no part of it has been submitted previously for any Degree or Diploma of any
University.

It is her own work and facts reported by her personal findings and investigations.

INTERNAL EXAMINER: EXTERNAL EXAMINER:

PROF. AKSHA MEMON

CO-ORDINATOR: PRINCIPAL:

PROF.AKSHA MEMON DR.MRS.SHOBHA MEMON

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DECLARATION

I the undersigned MISS ANSHULA MOTIRAM here by, declare that the work
embodied in this project work titled “A STUDY OF INVESTMENT AND SAVING
PATTERN OF EMPLOYED WOMEN IN MUMBAI CITY”, forms my own
contribution to the research work carried out under the guidance of PROF. AKSHA
MEMON is a result of my own research work and has not been previously submitted
to any other University for any other Degree/ Diploma to this or any other University.

Wherever reference has been made to previous works of others, it has been clearly
indicated as such and included in the bibliography.

I, here by further declare that all information of this document has been obtained and
presented in accordance with academic rules and ethical conduct.

ANSHULA MOTIRAM

Name and Signature of the learner

PROF.AKSHA MEMON

Certified by

Name and signature of the Guiding Teacher

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ACKNOWLEDGMENT

To list who all have helped me is difficult because they are so numerous and the
depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project.

I take this -opportunity to thank the UNIVERSITY OF MUMBAI for giving me

chance to do this project.

I would like to thank my PRINCIPAL, DR. MRS. SHOBHA MENON for

providing the necessary facilities required for completion of this project.

I take this opportunity to thank our COORDINATOR, PROF. PRANAV

INDULKAR for his moral support and guidance.

I would also like to express my sincere gratitude towards my project guide PROF.
AKSHA MEMON whose guidance and care made the project successful.

I would like to thank my COLLEGE LIBRARY, for having provided various

reference books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped
me in the completion of the project especially MY PARENTS AND PEERS who
supported me throughout my project.
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EXECUTIVE SUMMARY
Investment is an type of activity that is engaged in by the people who have to do
savings i.e. investments are made from their savings, or in other words it is the people
invest their savings. A variety of different investment options are available that are
bank, Gold, Real estate, post services, mutual funds & so on much more. Investors are
always investing their money with the different types of purpose and objectives such
as profit, security, appreciation, Income stability. Researcher has here in this paper
studied the different types and avenues of investments as well as the factors that are
required while selecting the investment with the sample size of 53 salaried employees
by conducting the survey through questionnaire in Mumbai city of, India.

This study examines the savings and investment pattern of select woekingor
employed women (Age: 18- 40 years) in the city of Mumbai who has just begun to
earn. The study also looks into the basic financial literacy amongst the youth; how
they go about educating themselves, and how do they look at risk, returns and various
modes of investments and what determines the same. Primary data was collected
using a survey method. The information generated during data collection was both
qualitative and quantitative. The major objectives of the study were (1) To understand
the employed women’s income and saving pattern. (2) To know their longterm
financial goals. (3) To find out risk appetite of youngsters. (4) To find out whether the
investors are looking for long term growth or risk or return or liquidity.

Actually, here the present study identifies about the preferred investment avenues
among individual investors using their own self-assessment test. The researcher has
analyzed and found that that salaried employees consider the safety as well as good
return on investment that is invested on regular basis. Respondents are much more
aware about the different investment avenues available in India. This Current study
deals with the Saving And Investment Pattern Of Employed Women with Special
Reference To Mumbai City (India).
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TABLE OF CONTENTS

CHP SR. NO CONTENTS PG

NO. NO.
1. INTRODUCTION
1.1 MEANING AND DEFINITION
1.2 ELEMENTS OF INVESTMENT
1.3 WOMEN IN INDIA IN MODERN
PEIOD
1.4 ROLE OF WOMEN IN INDIA
1.5 COMMON OBJECTIVES OF
INVESTMENT
1.6 IMPORTANCE OF INVESTMENT
1.7 SAVING –MEANING AND
DEFINITION
1.8 FACTORS LEADING TO SAVING
1.9 SAVING SCHEMES
1.10 NEED AN IMPORTANCE OF THE
STUDY
1.11 STATEMENT OF THE PROBLEM
2. 2.1 RESEARCH METHODOLY
2.2 OBJECTIVES OF THE RESEARCH
2.3 HYPOTHESIS OF TE RESEARCH
2.4 SCOPE OF THE RESEARCH
2.5 LIMITATIONS OF THE RESEARCH
2.6 SAMPLE SIZE
2.7 SOURCES OF DATA COLLECTION
2.8 RESEARCH DESIGN
3. REVIEW OF LITREATURE
4. DATA ANALYSIS
5. GRAPHICAL DATA AND
INTERPRETATIONS
6. CONCLUSION
7. SUUGGESTIONS
BIBLIOGRAPHY AND
WEBLIOGRAPHY
ANNEXURE
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CHAPTER 01

INTRODUCTION
The term ‘Investment’ has many meanings. It means the use of funds for earning
income or increasing the value of money over a period of time. Every individual
earning income would like to put the spare funds to use which will yield him returns
in the future. By investment it means funds available at present are committed for
some purpose for a certain period of time so as to get funds in the future which will
compensate the investor for time period, rate of inflation and also uncertainty
associated with the future. It means sacrificing some money value in the present with
the hope of getting more money value in the future.

Investment as understood by a common man refers to the commitment of money for

some purpose. Such investments are also known as financial investments.

Examples of investments are:

 Depositing money in a Bank Fixed Deposit.

 Depositing money in PPF Account.

 Buying a property.

 Buying units of mutual funds.

 Buying equity/preference shares of a company

 Buying debentures/bonds of a company

 Buying gold or silver jewellery

 Depositing in corporate fixed deposits .

ELEMENTS OF INVESTMENT

 Element of sacrifice: Investment involves sacrificing current consumption of money

value. An investor sacrifices the current consumption of money to utilize the money
for some commitment like buying shares, investing in bank deposit, buying property,
buying precious metals like gold, etc.

 Element of futurity/time: Investment is made by an individual for a certain period

of time. The period of time may be few days, few weeks, few months or even few
years. Based on the time period, investments are classified into short-term, medium-
term and long-term investments. Generally, expected returns are higher for long-term
investments as compared to that of short-term investments due to uncertainty of the
future. The element of time is an important factor to be considered while selecting the
type of investment. Returns vary with changing time and changing scenario. Hence,
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there is a need to regularly evaluate the investments. An investor having a short term
investment objective will select a less profitable short term investment as compared to
a long term investment even if it is more profitable.

 Element of risk: It is a chance of loss due to variability in the expected returns.

Every type of investment carries a certain element of risk. The degree of risk depends
upon the type of investment. Since investments are always made for certain period of
time in the future, there is an element of risk associated with it. Future is always
uncertain. Due this uncertainty, the chances of getting lower return or adverse return
in contrast to the expected return is referred to as risk.

 Expectation of gains/Return: Investors do not invest their money for charity. It is

always done with the expectation of gains in the future. Returns or gains may be
earned regularly or as a lump sum after a period of time. Expected gains from
investment represent compensation for waiting, compensation for loss in purchasing
power and compensation for the risk undertaken. Every investor desires to earn
returns from his investments. It is a reward for sacrificing the current consumption in
exchange for future consumption. Returns are earned in two ways: 1. Current income
in the form of interest or dividends and 2. Capital gains in the form of appreciation in
the value of investments.

Investment activities undertaken by the people are considered as essential prerequisite

for capital formation and faster growth of an economy, especially in case of
developing economy like India. Investment may be defined as an employment of
funds with the aim of achieving additional growth, in value or additional income.
Investment refers to the accumulation of some kind of asset with hope to get a return
from it. Investment is necessary to promote capital formation in the economy, as
capital formation involves making of more capital goods which are used for further
production. It increases productivity of the workers, which results in higher wages
leading to higher standard of living and more savings, which can be used for further
investment.

Capital formation also includes human capital which means the stock of people
equipped with education, skills, good health etc. It has been realized that human
capital formation is necessary for increasing production and productivity along with
physical capital formation. Investment in shares, stocks, debentures etc. may be
considered as financial capital formation. Thus in order to promote physical, human
and financial capital formation, investment in the economy has to be increased
through higher level of savings of both men and women in the country.

In case of India Gross Domestic Savings (GDS) as a percentage of Gross Domestic

Product (GDP) at market prices increased from 8.6 percent in 1950-51 to 34.8 percent
in 2006-07. When the major components of GDP are analyzed, it is observed that the
household sector is the major contributor to GDP, which accounted for 5.7 percent in
1950-51, 9.5 percent in 1970-71 and 23.8 percent in 2006-2007. The share of private
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corporate sector in GDP which contributed 0.9% in 1950-51, increased to 2.7% in

1990-91 and then to 7.8% of the GDP in 2006-07, as a result of introduction of
economic reforms introduced in 1991 which stimulated savings of corporate sector.
Public sector saving accounted for 2.0% of GDP in 1950-51 which increased to 3.2%
in 2006-07.

When we take the relative contribution of these three sectors to GDP, it may be noted
that in 1950-51 household sector accounted for 66.3%, the corporate sector 10.5% and
the public sector 23.2%. During 2000-2001 and 2006-2007 there was a qualitative
shift in the relative shares of these three sectors. In 2006-2007 the share of household
sector declined to 68.4% from its share of 91.1% in 2000-2001, the share of the
corporate sector stood at 22.4% and that of the public sector was 9.2 in 2006-2007.

Household savings take two forms, financial savings and physical savings. Financial
savings include currency, bank deposits, shares and debentures, life insurance,
provident and pension funds etc. Physical savings are in the form of construction of
houses, purchase of flats, household equipments etc. The share of financial saving in
asset was 0.6% of the GDP or 11.3% of total household savings which increased to
8.7% of GDP in 1990-91 and 12.8 percent in 2005-06 or 52.2% of the total household
saving. Regarding physical saving in assets that were at 5.5% of GDP in 1950-51, or
88.7% of the total household saving, which stood at 10.6% of the GDP in 1990-91
and 11.7% in 2005-06 or 47.8% of the total household savings. Thus financial savings
in assets increased from 11.3% to 52.2% of the total household savings from 1950-51
to 2005-2006, where as physical saving in assets 5 decreased from 88.7% to 47.8% of
the total household saving during the same period.

Hence, the study of increase in household savings and investment stands out as an
important aspect of the development study. Investment may also be classified into
traditional and modern investments, traditional investment includes investment in
gold, real estate, bank deposits and postal instruments such as Indira Vikas Patra,
National Saving Certificate, Kisan Vikas Patra etc. Modern investment includes
investment in shares, debentures, stocks, mutual funds, life insurance, intellectual
property, units, Commodity market etc.

Investment may also be classified as direct investment and indirect investment. Direct
investments include (a) Fixed principal investments such as cash, saving account,
saving certificate, Government bonds, Corporate bonds and debentures. (b) Variable
principal securities which include equity shares and convertible debentures (c) Non
security investments which include real estate, mortgages, commodities, business
ventures, art, antiques and other valuables. Indirect investments include pension fund,
provident fund, insurance, investment companies, Unit Trust of India and other trust
funds.

In the context of household sector, it may be observed that, the individual investors
differ in terms of age, residence, family conditions, insurance coverage, tax incidence
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etc. Every investor has his own goals, risk tolerance and constraints. “Investment
behaviours is related to the activities of individual investors regarding searching,
evaluating, acquiring and reviewing the investment products and if necessary
deposing such products.”1 Investment behaviour of an individual is difficult to
predict. It is the psychology of the investor that determines the pattern of his/her
investment. For example, during the period of recession some investors postpone their
investments, while other investors may prefer to take advantage of the situation even
though it involves risks.

Investors may be classified into three categories:

Some investors are risk averse who do not like to take risks, other investors are
prepared to take calculated risks they are called rational investors.

Still other investors are risk seekers as they are ready to take risk believing that
“higher the risks, higher will be returns”.

Generally investors consider risk or uncertainly about future outcome, and take
decision, women being more careful while dealing with financial matters, they prefer
to avoid risks as far as possible.
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WOMEN IN INDIA IN MODERN PERIOD

The status of women during this period can be studied in two different periods namely
Preindependent India and Post-independent India.

Status of Women in Pre-independence Period :

(During British Rule) After the Mughal rule, India came under the British rule. India
was ruled by the British for nearly 200 years till the first half of 20th Century. During
the British rule, there was some extent of political order, but the societal structure and
other customs and practices remained the same as during the medieval period. British
rulers observed certain inhuman Indian practices such as Sati, female infanticide,
slavery, prohibition of widow remarriage and child marriage. Such customs and
practices further increased the gender inequalities in India. In areas of education,
employment, free movement and property rights, inequalities among men and women
existed on a wide scale.

Initially, the British rulers did not take steps to change the social structure. However,
in the latter half of the nineteenth century, efforts were made to change the derogatory
social customs by enacting various laws. Many leaders and individuals having modern
thoughts felt the importance of contribution of women in different spheres of life.
India witnessed a reform movement due the efforts of such enlightened people which
slowly brought about a change in the status of women in India. In the beginning, all
the leaders were men. However, over a period of time, many women also started
participating in the reform movement. Women also took part in the freedom struggle
and contributed to the changing Indian society and Indian history. Social reformers
like Raja Ram Mohan Roy, Ishwar Chandra Vidyasagar, Dayanand Saraswati, Keshab
Chandra Sen, Swami Vivekanand also played a major role in bringing about changes
in social customs and practices. They created awareness about the ill-effects of such
practices and mobilized public opinion to get the legislations enacted. Such steps
helped in removing the hurdles in the growth and progress of women and helped in
bringing greater equality between men and women and give formal education to girls.
This mission was accomplished by starting many Convent schools.

In Bombay the first girls’ school was started in the year 1824. Girls were also given
permission to pursue higher education. Thus, the progress of women through
education was started during the British era. Due to the efforts of social thinkers and
the imparting of education to women, the attitude of men and women changed in
matters related to education, employment and marriage of women. Women were
employed as teachers, Doctors, nurses and so on. Sati was banned and the marriage
age of girls was raised. All these efforts by the social reformers helped in raising the
status of women in Indian society.

Women like Mrs. Annie Besant, Dr. Sarojini Naidu, participated in the women
reform movements and worked in different fields such as education and politics. They
also inspired women to participate in India’s freedom movement. In 1885, Indian
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National Congress was established for bringing about freedom to India from British
rule. Along with INC, Mahatma Gandhi’s non-violent movement also worked for
bringing about changes in the social structure which gave equal status to women.
Many initiatives were taken by women in the freedom movement of India. Women
also participated in all the activities of India’s freedom struggle with enthusiasm and
energy. Seeing the enthusiasm of women in the freedom struggle, Netaji Subhash
Chandra Bose helped in setting up the Rani of Jhansi Regiment of the Indian National
Army.

Status of Women in Post-Independence Period India attained independence from

British rule in 1947. Many measures were taken by the British to improve the status of
women in India. In addition to these measures, the Government of India also took
various steps to enhance the status and progress of women in India. All kinds of steps
including legal, political, social and economic were taken in this direction. The status
of women also improved on account of the Indian National Movement. Leaders of
this movement realized that the progress and development of the country was possible
only with the active involvement of women who constituted nearly 50% of the Indian
population.

Modern and liberal philosophy of the Western countries influenced the thought
process of social reformers of India. This philosophy taught people to have a rational
and scientific attitude towards life and its challenges. It encouraged freedom of speech
and also led to the questioning of accepted customs, practices and traditions. This
rational approach led to the recognition of individual identity, freedom and rights of
an individual, be it that of a man or a woman. The Constitution of India also
recognized the equality of gender to be a fundamental right. As a result, the status and
position of women in India changed to a very great extent.

ROLE OF WOMEN IN INDIA:

There was considerable freedom and equality to women during the preAryan period.
The religion of the majority in India was Hinduism, which assigned lower status to
women. The ancient law giver Manu prescribed “A women must never be
independent”. Women were expected to be an obedient daughter, faithful wife and
devoted mother. The child marriage was common, which implied that the young
spouses were not involved in the process of decision making regarding selection of
their maters. The custom of sati, prohibition of widow re-marriage, insistence on
dowry etc. rendered the Hindu women a non person. Excessive dowry, prohibition of
inter-caste and interreligious marriages forced some women into prostitution and
suicide. Indian protestant religions such as Jainism, Buddhism, and Sikhism initiated
reform movements to improve the conditions of women. However even among these
religions the situation continued to be similar as Hinduism. Islam believes in social
equality of men and women but prohibits women from equal participation in the
religious field. During 19th century several social religious movements were initiated
in India, but these efforts were limited to improvement of women’s position within
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the limits by traditional framework. It was the participation of a large number of

women in the national liberation struggle and social reconstruction programmes under
the leadership of Gandhiji and the involvement of some women in revolutionary
activities drawing inspiration from Subhash Chandra Bose which made the beginning
of women’s participation in the wider social and political field. Indian independence
in 1947 marks a turning point in the process of development of women. As India
emerged as a sovereign Democratic Republic in 1950, it provided a strong judicial
base to the status of women at par with men in the male dominated society. The
constitution of India guaranteed every citizen, men or women some basic
Fundamental Rights emphasizing on equality of status and of opportunities, and
enumerated the principles of welfare state in its Directive principles of state Policy.
Enactment of several progressive laws in the following period like Hindu Marriage
and Succession Act 1956, Right to inheritance Act, Hindu women’s Right to property
Act 1973 etc. contributed towards enhancing the status of women in the society.
Similarly passing of several other Acts like Dowry Prohibition Act, Medical
Termination of Pregnancy Act, Family Court Act 1984 etc. not only brought
significant changes in the status of women but also provided privileges leading to
legal empowerment of women in India.

As a part of constitutional obligations and policy priorities to establish welfare state

and to protect the socio economic interests of the women, The Central Government
established the Central Social Welfare Board in 1953. In order to organize and unite
women workers, Mahila Mandals were organized throughout the country. During the
period of successive planning emphasis was given to several aspects for promoting
development of women, such as women’s education, health programmes
concentrating on nutrition, family planning, child welfare, training of women in need
of income, protection and promotion of literacy. As a result the literacy rate among
females stood at 54.16 percent in 2001 and it shows a rising trend in the subsequent
period.

The rapid progress of industrialization in India has brought about significant changes
in Indian society especially in the status of women, affecting their lives, both within
and without the family. With industrialization the roles of economic productivity
shifted from home to the offices and factories. Thus the industrialization of the
economy and associated socioeconomic changes have promoted the women “to leave
the confines of their female polarized 10 home making roles towards some degree of
freedom and role flexibility and to assert their right to equality in each and every field
of human life”.

The number of working women has been rapidly increasing since last two decades,
due to increasing rate of literacy among them, awareness of self entity and family
needs. Now women are employed in various fields like education, insurance
companies, medical, IT service industries, manufacturing industries, finance, politics,
government and semi government organizations etc. The attitude of the society
towards women has been significantly changed. There is social acceptance of the
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women at work place. Organizations are now prepared for providing them flexible
work plans so as to enable them to manage their domestic and official activities
efficiently.

“In India, Banking and Insurance sectors are Organizations where large number of
women force exists. The points which Bank management generally present in
women’s favor include

“ i) Woman employees are sincere and diligent and meticulously complete their work.

ii) They are time conscious.

iii) They do not shirk responsibilities.

iv) They perform all types of jobs well.

v) They are less involved in union activities.

vi) They are less often involved in frauds and corruption.

Because of these outstanding characteristics of women workers modern organizations

tend to employ them and also treat them as equal to men working at the same level.
“Working women have a greater propensity to save and invest because of their
independent earning power. They also get motivated by the investment behaviour of
their colleagues in their work place. They tend to be risk adverse, safety oriented and
mostly guided by certainty of returns. However on account of increasing level of
knowledge and awareness, women are slowly participating in the risky investment
port folios and they are becoming analytic in their investment behavior”

Jason Zweig conducted a detailed study on investment Port folio of women in USA
and concluded that, “women tend to be fearful whereas men feel angry in times of
crises and these differences in emotions construct a different View points. Seen
through “a lense of anger” the world seems more certain, more amenable to our
control and less risky. Viewed through “a lense of fear”, however, the world appears
full of uncertainty, beyond our control and rife with risk”. According to the study,
women’s risk adjusted return beat men’s about one percent per year and this is due to
women holding more conservative 12 portfolios and looking for lower returns than
men do. Thus although they are looking for lower returns still are able to beat men by
one percentage point every year.

Terry Johnston concluded in his study that “women tend to listen to their advisors,
Women tend to believe in a buy and hold strategy, women are more apt to go long
term, and women tend to go with more balanced port folios”.

That is why women control more wealth than men in North America.
 16

There is substantial increase in the number of professional, self employed and

educated women. This is due to the reason that women in general do things
systematically and in particular manage the resources effectively. Women have an
inherent talent for multitasking – organizing household activities, managing available
resources, maintaining relationships and making firm decisions. These qualities of
women can be capitalized by identifying their potetential and extending a favourable
support to manage new ventures.

Common Objectives of Investment:

All investment activities are done with the expectation of returns in future which will
increase the wealth of the investor. There are certain common objectives of
investment which are as follows:

 Safety: An investor would like to invest in safe avenues. He wants full safety for
his money. In general an investor would like to invest his money where risk is
extremely low. Safety of investment generally indicates that the default risk does not
exist or is very less. Safety of investment is assured in the case of government
securities, post office deposits, RBI bonds and in bank deposits. However, the returns
offered by such investment avenues tend to be very less as compared to those of
riskier investment avenues.

 Regularity of income: Some investors, especially the retired individuals invest their
funds with the aim of getting regular income. Hence, they invest in monthly income
schemes offered by post offices and other financial institutions.

 Capital gains: Many investors expect appreciation in the capital invested by them.
To achieve this, individuals invest in shares and mutual fund units wherein the capital
gains are high. However, such investments are also risky in nature. For making capital
gains, it is necessary to invest in the right investment avenues and at the right time.

 Tax savings: Most of the salaried people make investments in avenues such as PF,
PPF and insurance policies to avail the tax benefits associated with them. At present
such investments up to Rs.1,50,000 can be availed as a deduction from the gross total
income u/s 88 of the Income Tax Act. Investments are also made to earn tax free
incomes by investing in tax free bonds, units of certain mutual funds or government
securities.

 Liquidity: Certain investments are made for a very short period of time with the
intention of converting them into cash when needed. If an investment can be
converted into cash without much difficulty and without loss in capital/minimum loss,
then such investment is considered to be liquid in nature. Treasury bills, government
securities, shares in good companies which are traded regularly are some examples of
liquid investments.
 17

 Hedging: When investors try to minimize the risk or counter balance risk arising
due to some previous commitment, it is referred to as hedging. To take an example, if
an investor has already bought some shares whose prices are likely to decline in the
future, he may enter into option contracts to minimize such risk.

 Arbitrage: This involves buying in a market where prices are low and selling in a
market where prices are high. Profits are made due to differences in the prices of same
shares across different stock markets.

INVESTMENT PROCESS
Any rational individual would like to make sound investments which will meet his
goals and also maximize returns with minimum amount of risk. But making such
sound investments is not easy considering the fact that various investment options are
available having different rates of returns, levels of risk and different maturity
periods. Devising a suitable portfolio to meet an individual’s goals is a complicated
exercise. To design an appropriate portfolio, certain steps have to be followed which
are as follows:

1. Review of Investment avenues: This is the first step in investment process. The
investor should look into all the available options before making investment such as
Bank FD, PPF, Post office Savings, mutual funds, buying shares/debentures/bonds.

2. Determination of investment objectives and constraints: Different investors have

different objectives in making investment. Investment decisions result in the creation
of a portfolio which depends on the objectives, constraints and style of taking
investment decisions. An investor has various goals which have to be met at different
points of time in his life which may be classified into short-term, medium term and
long-term goals. He will also consider return on investment, safety of funds, liquidity
of investment, regularity of income, tax savings and capital gains provided by
different forms of investment. The investor may also have certain constraints like
insufficient funds, irregular flow of income and high rate of taxes, need for liquidity,
time period of investment and certain unique preferences and circumstances which
will decide the mix of securities in the portfolio.

3. Investment Analysis: There are various techniques to make an analysis of

securities. They are fundamental analysis and technical analysis. In fundamental
analysis, various fundamental factors like economic indicators, industrial indicators
and company related facts and figures are analyzed. An investor is interested in
knowing appropriate timing of investment and also the best avenues of investment. In
this analysis, one also calculates the intrinsic value of shares. Intrinsic value is that
value of a share which is supported by assets, profitability and financial performance
of the company. An idea about intrinsic value helps in making investment decisions.
Generally the share prices hover around their intrinsic values. Buy/sell decisions of
shares are done based on a comparison of market prices and intrinsic value of shares.
In technical analysis, share prices and the traded volumes of shares are studied to
 18

predict the near future price movement. It is based on the belief that history repeats
itself. Price patterns and traded volumes are repeated in intervals. Demand and supply
of securities are affected by certain logical factors and also psychological factors.
Technical analysis helps in forecasting the trends in movement of prices and volumes
traded.

4. Portfolio Construction: After making an analysis of investment avenues and

considering the various objectives and constraints of investment, an investor has to
construct his portfolio. This involves identifying specific avenues for investment and
the amount to be invested in each avenue so as to achieve the investment goals.
Portfolio refers to the combined holding of different securities.

5. Performance Evaluation: After investing in the securities as decided in the

previous step, an investor should evaluate the performance of the various investments
in his portfolio on a regular basis and objectively. This will help in knowing whether
his objectives are being attained or not.

6. Portfolio Revision: All of us live in a changing environment. Such a changing

scenario affects the interest rates, the prices of securities and the market conditions.
This influences the performance of the various investments. Hence, there is a need for
performance evaluation and revision of portfolio to suit the investor’s objectives.
Portfolio revision involves repeating all the previous steps.

Investment Wisdom:

 Avoid impulsive decision.

 Portfolio must be diversified.

 Review the portfolio at regular intervals and make changes if radical changes occur
in the market situation.

 Do not panic.

 Try to buy when the share prices are low and sell them when the prices are high. It
is easy to say but difficult to implement.

 Go against the mob, when others sell you buy and vice versa.

 Get knowledge from different sources but take independent decisions.

 Do not get take investment decisions on the basis of bias, prejudice or greed.
 19

IMPORTANCE OF INVESTMENTS:

Investments have gained lot of importance in the present day conditions due to the
following reasons: 1) Longer life expectancy: The general retirement age of people is
between 60 and 65 years. Average life of individuals has also increased due to better
medical facilities. Individuals working in the private sector do not get pension after
retirement from their employers. Hence, individuals should start investing at an early
age to get the benefit of compounding. Savings and investments should go hand in
hand during the earning years of an individual. Investments and the resulting income
from them should be planned in such a manner that they will ensure that the
individual and his family are able to maintain the same standard of living which was
enjoyed by them in the period before retirement. Increase in the working population,
proper planning for life span and longevity have ensured the need for balanced
investments.

2) Taxation: Due to the existence of various taxation policies, savings and investment
in certain instruments have become necessary. Savings are channelized into the
desired sectors by introducing tax incentives and tax exemptions. Investment in such
avenues will give benefits to the tax payer.

3) Interest rates: The rate of interest provided by different investment avenues is

different. The interest rate provided by risky investment avenues tends to be much
higher as compared to that of the safer ones. It may also be different owing to the
varied benefits offered by various instruments. Many other factors along with interest
rate have to be considered before making investment decision.

4) Inflation: Rising prices and inflation are a common problem of all developing
countries of the world. Due to inflation, the real value of money goes down. Hence,
investors have to select those instruments which will give a high rate of interest to
cover the inflationary rate. In addition to safety of principal and rate of return, the
taxation policies of the Government should also be considered before making
investments.

5) Increasing incomes: There has been a general increase in employment

opportunities in India. This has led to increasing incomes in the hands of the people
which have in turn increased the savings and greater demand for investment
opportunities. People are also aware about different financial assets and real assets.
This has encouraged individuals to earn more income, save and invest to enjoy better
standard of living.

6) Change in the family structure: The family structure in India is changing from a
joint family pattern to a nuclear family structure. Savings and investment did not have
much importance in the joint family system as individuals enjoyed a reasonable
amount of security and satisfaction of their basic needs even in the absence of regular
 20

income. However, in the nuclear family system, the need for savings and investment
has assumed greater significance owing to small size families.

Savings:
Savings refers to retaining a portion of income either monthly or annually. In the
study it is observed that high savings and investment ratios shows positive association
with the GDP growth rate. According to Goldsmith, Patrick etc, economic growth rate
can be enhanced through increase in savings in the form of Financial Assets which
leads to increase in capital formation. Savings are affected by real deposit rate of
interest and real money demand. Increase in intermediation leads to mobilisation of
saving and greater investment which finally leads to economic growth. Financial
intermediation is the real money stock as a proportion of GDP and it directly and
positively affect the savings. A high saving ratio lowers consumption and aggregate
demand.

Savings are done for meeting future contingencies or expenditure and not with the
intension of earning return from it. As it does not aim at return, the element of risk is
absent in case of savings. Savings may be any amount set apart either in Bank
account, post offices, or in hand. Savings and Investment are used interchangeably.
Savings are the amount which is retained by the recipient by cutting down his
expenditure. It is usually in the form of cash. Assets are things owned by individuals
who may be classified as financial assets and Real assets. Financial assets carry a
corresponding liability while real assets do not have any liability associated with.
Land and Precious metals like Gold, Silver are real assets while Shares, Bonds Mutual
funds are Financial assets.

Savings may be done by either:

1) Household Sector Savings- savings done by individual members of a household.

Household savings contribute a major share in the Indian economy and national
income as well.

2) Private Corporate Sector Savings- savings done by private owned corporations.

Private sector include non-government non-financial companies, commercial banks
and insurance companies working in the private sector, co-operative banks, credit
societies and non-credit societies and non-banking financial companies in the private
sector

3) Public Sector savings - savings done by public sector undertakings and

government savings.

Saving function

It is the relationship between saving and disposible income . The height of the saving
function against X axis measurers saving at each level of disposible income. When the
 21

saving function intersects at x axis , which means all disposible income is consumed
and savings are zero.

Marginal propensity to save (MPS)

MPS = 𝐶ℎ𝑎𝑛𝑔𝑒 𝑖𝑛 𝑠𝑎𝑣𝑖𝑛𝑔𝑠÷ 𝐶ℎ𝑎𝑛𝑔𝑒 𝑖𝑛 𝑑𝑖𝑠𝑝𝑜𝑠𝑖𝑏𝑙𝑒 𝑖𝑛𝑐𝑜𝑚𝑒

It is equal to slop of saving function i.e, MPC +MPS =1

Saving Function

Sd/Y= ƒ[ g,y,Rd,P*,(Sf/Y), (Sd/Y) ] Where Sd= Domestic savings, Y= Gross

national Product, g=rate of growth of Income, y= real GDP per Capta, Rd=
nomial rate of interest, P*= expected rate of inflation, Sf= foreign savings

Factors Leading To Saving

a) Saving Behavior
Individual’s attitude and behavior towards saving is very relevant while
exercising financial control. Financial controlling is easy among those individuals
who have the intention to save, but it is very difficult among those who feel that
there is no need to save.

b) Purpose of Savings
What is the very purpose of saving, when he/she can meet all his/her
requirements? People save because of variety of reasons or purpose, the most
important among them are

1) Save for Emergency: An emergency fund is created to cover unexpected

financial events, such as health issue, any accident or breakdown of vehicle,
emergency trip etc.

2) Save for the down payment of a house:

If the individual is able to make down payment at the time of purchasing a home
(5% of the purchase price), then the bank will provide remaining amount as loan
(95%of the purchase price).

3) Save for the education of children and grand children when the time come.

4) Save for the retirement: Savings are done for meeting the financial
requirements in the retiring life. Better savings will reduce the tension at that
time.

5) Save for the down payment of vehicle: This will definitely reduce the
conveyance expenses of an individual.
 22

6) Save for financial independency: This means that one has the freedom to
make choices in his/her life i.e, to visit a place whenever he wants, to start own
business, to help family members, to spend for the education of the children etc.
7) Save for getting out of debt: In order to get out of debt one has to save
money. Maintaining a reserve fund for meeting emergencies, will help an
individual to understand whether he/she is getting out of hand.

8) Save for annual expenses: To have a free and stress less life, an individual
has to save for annual expenditure such as annual maintenance of vehicle, house,
gift to friends and relatives, tours and travels, paying of property tax and income
tax etc. Saving money in advance will help the individual to free from financial
stress and strain.

9) Save for good life: In order to live in peace and stress free environment, one
has to put aside some part of his money as savings.

“Money is as important as oxygen in one’s life. It is not everything, but without

which one cannot live. Money saved will definitely help you when you are in
financial stringency, just like the oxygen mask help one at the critical time”.
Quoting by Neetubala Raina, Executive coach, Talent and Leadership
Development. An ordinary man tries to save for achieving a particular goal which
is unpredictable. But a successful saver wants to save with a view to enjoy the
financial freedom i.e, it is a passion saving.

c) Regularity of Savings:
It refers to the tendency of saving on a regular basis. An individual may save
regularly a fixed amount [regular fixed saver], save regularly but not a fixed
amount i.e., depends upon his financial situation [regular flexible saver] save
money only when there is surplus[ irregular saver] could not save due to An
Over View of Indian and Kerala Economy—Savings & Investment in Kerala
The savings and Investment Pattern of Women Working in Organized and
Unorganized sectors in Kerala 131 financial constraints [no money no
savings] do not save since they prefer to enjoy the life now[non saver]. This
regularity of savings will definitely affect the savings and investment pattern.

d)Propensity to Save
Propensity to save is the fraction or percentage of disposable income which is
not spend or consumed. In general it may vary with the intensity of income.

Ando and Modigliani in their ―Life cycle Theory‖ stated that the propensity
to save is expected to be low in the early stages of life but it is relatively high
in middle age and gradually decreases in the older age. It is increased in the
middle age because they want to meet the family needs, meeting unforeseen
 23

health emergencies, age sustenance etc. But in the older age it is decreased
because of their increased consumption demand. Propensity to save is also
depends upon the consumption and disposible income. Disposible income is
the sum total of aggregate income plus transfer payments less taxes.
Disposible income less planned consumption is equal to planned savings.
This disposable income is also used to measure discretionary income,
personal saving rates, marginal propensity to consume, marginal propensity
to save.

Factors shaping the propensity to save :

a) Growth of disposable income.

b) Expected return.
c) Real interest rate ( inflation adjusted)
d) Risks of different options
e) Tax incentives for different options
f) Welfare provisions
g) Expectation of changes in Equity values/ property prices
h) Confidence about the economy
i) Real cost of borrowing money
j) Stages of life cycle
k) Availability of credit
l) Availability of saving institutions

Average propensity to save (APs)

It refers to the proportion of income which is saved. It is also known as

saving ratio, which is expressed as a percentage of total household disposable
income (income – tax). Average propensity to consume is just inverse of
average propensity to save. Marginal propensity to save (MPs) = change in
savings due to change in Income

a) Saving Rate
Saving rate is the amount of money expressed as percentage or ratio that
a person deducts from his disposable personal income to set aside as his
savings. That is savings will be equal to disposable income minus
expenditure. Normally this amount is invested in low risk investments
such as money market funds, which is composed of non-aggressive
mutual funds, stocks and bonds etc. Consumption centered economies
have lower saving rate i.e, United States. Saving rates are affected by the
wage growth, bank interest rate, increasing wealth, increasing access to
credit,an increase in labour productivity,and population age,etc.
 24

Saving Schemes:
a) Bank Deposits
Bank deposits are the simplest form of saving scheme. These banks may be
either Scheduled Commercial banks or Private Banks. Accepting deposits are the
major primary function of a bank. In order to attract different category of
depositors, bank maintain different types of bank accounts such as Saving
Deposit account, Recurring Deposit account, Fixed Deposit and Current Deposit
account. Saving Deposit accounts and Recurring deposit accounts are mainly
operated with a view to mobilize the small saving of the public, especially those
in the rural areas. Hence, these two accounts are treated under saving schemes.

1. Savings Bank Deposits

Savings Bank Account means any SB account maintained by an individual
in any Public, Private or Co-operative banks with a ceiling on the interest
rate. The depositor can withdraw the amount deposited in saving Bank
account at any time but subject to number of withdrawals and the amount to
be drawn in a given period but still they are the most liquid form of asset
.Nowadays, interest on SB A/c is calculated on a daily basis. Compared to
fixed deposit A/c, return on the amount deposited in SB A/c is very low, but
it is safe.

2. Recurring Deposits
Recurring deposits are opened with a view to
encourage regular savings by the public having fixed income. Deposits are
done in a monthly installment basis for a fixed period and are returned to the
depositor only on maturity. The rate of interest on RD is slightly higher than
the SB account.

b) Postal Deposit Schemes

Indian postal offices played an important role in economic development of nation
by pooling the small savings of household sector. They render financial services
like offering saving account, post office time deposit, Recurring deposit, Monthly
Income Scheme, Senior citizens saving scheme, National Saving Chapter 3 136
The savings and Investment Pattern of Women Working in Organized and
Unorganized sectors in Kerala Certificates VIII issues, payment of utility bills like
telephone, payment life insurance premium, Mutual funds.

1. Post Office Savings

Account Post offices opened Savings account for the benefit of the public,
especially in the rural areas. Just like Savings Account with banks, Savings
deposits with Post offices are also safe and liquid. It is highly convenient for the
rural workers to deposit in post office rather than banks. Even a minor can open
and operate the post office savings account provided he has attained the age of
 25

ten. Further it is possible to transfer fund from one post office to another post
office
3. Post Office Recurring Deposits:
Recurring deposits are opened with a view to promote small but regular saving
habit. In this case the depositor has to deposit a fixed amount monthly which bears
an interest rate which is calculated quarterly. Generally the RD accounts are
maintained for 3 or 5 years, but the amount can be withdrawn before maturity but
only after a period of 3 years.

c) Chit Funds:
Chit funds are introduced with a view to promote the small savings of its
members. Chit means a transaction. It is also known as ―Kuri‖. Under the chit
funds, the members entered into an agreement with other subscribers who
subscribe the fund by paying a fixed number of monthly installments. Under the
chit funds each subscriber is entitled to a prize amount (sala) as per agreement,
when his or her turn comes. An auction is conducted every month until there is no
demand. Dividend amount depends upon the auction amount. The person who win
the bud early are the borrowers and those who wait for last chance are the lenders.
The person who win the last chance get the advantage of all dividends generated
in the group and he also receive the full amount i.e., Sala. For the present research
work Chit funds started by KSFE, Private Parties, SHG, and Co-operative
societies are only considered

d) Physical Gold
Physical form of gold investment may be either in the form of jewelry and
bullions or gold coins.

1. Jewellery
Around 16,000 tonnes of gold is within the Indian households, which is
primarily in the form of jewellery . In older days it is purchased for
consumption purpose only but now it is purchased and protected as an
investment, having capital appreciation. The main disadvantage is that the
investor has to bear the making charges and the sales tax levied on it in
addition to the risk of loss. Adult women are the most consistent wearers of
jewelry. Gold and silver are good hedges against the inflation and at the same
time it is highly liquid with less trading commission. Further investment in
jewelry have high storage value and easily transferable too. The greatest
drawback of jewelry is, there is no regular income, no tax benefit but at the
same time there is great chance of being cheated.

2. Gold coins/ Bullions

Investment in gold coins are done not for the present consumption purpose,
hence it can be kept under locker facility. Normally banks and jewelries and
post offices issue gold coins. There is no making charge, but the investor has
 26

to pay tax. Another drawback is that gold coins cannot be used for pledging
just like pledging the jewelry. In case of returning the gold coins, banks will
not accept it.

3. Gold Saving Scheme

Gold purchasing is an envitable expense in connection with a wedding
ceremony. As there are always fluctuations in gold prices, various jewellers
offer monthly saving schemes by which people can set aside funds for buying
jewellery. It works just like bank RD. The investor deposits a fixed sum every
month with a jeweller for a fixed period say one, two or three years and at the
Chapter 3 138 The savings and Investment Pattern of Women Working in
Organized and Unorganized sectors in Kerala end of the tenure investor gets
bonus. With this one can purchase only jewellery and no other purposes. Thus
the investor has to pay making charges and therefore it cannot be treated as a
good investment but still women at all age and at all income level prefer to
buy jewellery.
 27

NEED AND IMPORTANCE OF THE STUDY

Savings and investment are necessary for the purpose of capital formation which is
considered as a crucial element in promoting economic development of a developing
country like India. In India, during recent period household saving accounts for about
81.9% of the total saving in the country. Household saving is the result of the attempts
made by men and women that are earning family income. In India women constitute
48% of the total population; still their contribution to productive employment
remained very low in the past. Recently on account of increase in the number of
educated women who prefer to manage both work and home at the same time, take
advantage of the employment facilities available to them especially in the field of
education, insurance, manufacturing industries, medical, IT service industries,
finance, etc. The percentage of earning women has been steadily increasing; who by
nature are effective savers than their male counterparts. Savings of the women is
generally invested in gold as a safe and secure investment. Nowadays a large number
of educated women prefer to invest in other avenues of investment on an increasing
scale. However it has not attracted necessary attention at the hands of the research
workers. Some research studies are being carried out in respect of investment of
women in a particular outlet like life insurance, mutual fund, real estate, etc. but
studies related to the pattern and quantum of their total investment has not been
undertaken on a wider scale..
 28

STATEMENT OF THE PROBLEM

Investment that leads to capital formation is considered as an important factor in

promoting economic development of a developing country like India. Investment calls
for savings which are made by household sector, corporate sector and the government
sector, of which household sector is the surplus sector which finances deficit of the
other two sectors. Household savings are made both by men and women, since last
two decades number of working educated women in total employment has been
increasing, who have capabilities to save and invest. As research studies in the field of
investment pattern of working women have remained limited, an attempt has been
made to study the investment pattern of working women in the present work. To start
with only graduate women who are working and earning Rs. 10000 and more per
month, working in few sectors where there is significant women employment.
 29

CHAPTER 02

RESEARCH METHODOLOGY

1. OBJECTIVES OF THE RESEARCH:

Research objectives describe concisely what the research is trying to achieve. They
summarize the accomplishments a researcher wishes to achieve through the project
and provides direction to the study. A research objective must be achievable, i.e., it
must be framed keeping in mind the available time, infrastructure required for
research, and other resources. Before forming a research objective, all the
developments in your area of research should be considered and gaps in knowledge
are needed to be addressed. This will help you come up with suitable objectives for
your research project.

* The Objectives of the Research are stated below:

1. To study the awareness level of educated working women regarding various

investment avenues.

2. To find out the risk-bearing capacity of the working women while making
investment decisions.

3. To study the relationship between demographic factors (age, income, marital

status) and investment and saving decisions made by educated working women.
 30

HYPOTHESIS

1. Null Hypothesis (H0): Educated working women have a low level of

awareness regarding various investment avenues.

Alternative Hypothesis (H1): Educated working women have a high level of

awareness regarding various investment avenues.

2. Null Hypothesis (H0): Educated working women have a high risk-bearing

capacity.

Alternative Hypothesis (H1): Educated working women have a low risk-

bearing capacity.

3. Null Hypothesis (H0): Demographic factors (i.e Age, income and marital
status) do not have any impact on investment and saving pattern followed by educated
working women.

Alternative Hypothesis (H1): Demographic factors (i.e Age, income and

marital status) have an impact o investment and saving pattern of educated working
women.
 31

SCOPE OF THE RESEARCH

 Research needs to be carried out on specific segments of women investors

such as rural women,pure housewives,etc.in order to find out their sources of
inestment information.also, a comparison of the sources of investment
information of women investors belonging to different segments like
bussiness,teaching,enterprenuers,etc can be made.
 The sources of investment information of women investors with regards to
different segments of securities market i.e. IPO,Mutual Funds,Derivatives,etc.
can also be examined seperately.
 The comparative study of investment behavior of Indian working women & of
working women in foreign countries can be undertaken in future. There is also
much scope for the comparative study of the mentality, perceptions & attitudes
of the working women as investors here in India & abroad.
 A comparative analysis can be done on the various schemes introduced by
government, Bankers and Financial institutions based on segmentation of the
age, occupation and marital status factors to acquire more funds.
 Further research can be done in designing exclusive instruments for women
for utilizing women’s savings for the betterment of the economy.
 The following reasearch is confined to research for mumbai and its regions.
But,a different study on various other cities, states or regions, areas,etc. with
regards to women investors and their sources of investment options can also
be done.
 Such studies should be conducted for women working in different sectors of
the economy, in urban and rural areas. Steps need to be taken to provide more
information about investment opportunities, so that maximum investment of
women will be in productive activities, which will ultimately lead to the
capital formation that is most important for the developing economy like
India, for promoting economic developmentat higher rates.
 32

LIMITITIONS OF THE RESEARCH

 Due to logistical difficulties, scope of the research is limited to Mumbai city

and its suburban region.
 It is also limited to the study of the investment pattern of educated working
women only. Working women who are at least graduates have been
considered for the purpose of this research.
 Due to limitation of time, cost and effort, only 5women have been considered
forthe purpose of this research.
 Only salaried working women have been considered for the purpose of this
research.
 Some women denied to answer any of the asked questions related to this
research.
 Furthermore, a fair amount of uneducated women could also not be included
in this research.
 Also time and cost limitation has also limited the research study.
 33

SAMPLING:
Once the research problem has been clearly defined and the research design
has been developed, a researcher has to select those elements from which the
data or information is to be collected. The required information can be
collected either through the census method or the sampling method. Under the
census method, information is collected from each element of the universe or
population. However, in real life, collecting information from all the elements
of the population may not be possible. Hence, sampling method is used. Here,
information is collected only from a part of the population called the sample
and on the basis of this information conclusions are drawn for the whole
population. It is based on the principle of statistical regularity which states that
if a sample is selected at random from a universe, it is likely to possess all the
features of the universe. In research sampling is used due to the following
advantages:
 Collecting information from a sample leads to economy of expenditure and
saving of time.
 Data can be collected, summarized and interpreted more quickly by
studying a sample than by studying the entire universe. Hence, the results and
conclusions can be arrived at with greater speed.
 Many aspects of the problem can be studied on a limited number of
elements providing greater scope.
 The quality of data collection is generally better in the case of a sample.
Hence, the results are more accurate than those of a census study.
 Sampling is the only practical method of data collection when the universe
is infinite or extremely large.
 34

SAMPLE SIZE:

The sample population for this research is including all employed and working
women inestors in Mumbai city .This survey was conducted over a 8-week period.
Distribution of questionnaires was carried out only during the daytime from 12 Noon
to 6 P.M. Respondents were informed about the purpose of the survey in advance
before they were given the questionnaire. The link of web based questionnaire was
sent through e-mails.

Respondents are only working women inestors in india and working student investors.
No particular attempt was made to apply a random sample or to select particular
segments. Due to limitation of time and cost the reqiured number of respondents
could not be sourced. However, the number of respondents is less and hence does not
apply to the population. A total sample size of 1 was completed.

SOURCES OF DATA COLLECTION

 Secondary sources of data:

 Literature from articles published in Newspapers and Magazines
 Literature from the articles published in Journals relating to savings
and investment by individuals
 Literature from theses of M.Phil and Ph.D scholars
 Litreature from websites.

 Primary sources of data:

Primary data was collected by taking interviews of sampling units. A
structured questionnaire was used for this purpose. Initially, a pilot
study was done on 10 respondents to check the appropriateness of the
questionnaire. The questionnaire was prepared in simple and easily
understandable language. Necessary instructions were given so as to
avoid ambiguity in understanding the questions. After the pilot study,
necessary corrections were made in the questionnaire so that the
objectives of the study could be achieved.
 35

The questions were framed in such a way that the respondents could
easily understand them and give correct information in the shortest
possible time. Most of the questions were standardized and close-
ended to avoid any ambiguity. Alternatives were provided for most of
the questions so that choices could be easily made. The questionnaire
mainly consisted of questions regarding personal details and details of
savings and investment of the respondents.

RESEARCH DESIGN:
Data Collection Survey through Questionnaire

Types of Data Primary and Secondary

Sample Area Employed and working Women

Investors
Research Instruments Questionnaire

Types of questionnaire Structured

Statistical charts used: Pie charts and Bar graphs

Sample Size: 53

Sample Technique: Emails

 36

CHAPTER 03

REVIEW OF LITREATURE
Given below are some literature reviews:

 Priya Vasagadekar (2014) Studied women working in different industrial

sectors in Pune to understand their investment awareness and investment
pattern. They were interviewed to understand their investment habits, their
role in investment decision- making, preferable investment avenues and risk-
bearing capacity. The study also tried to establish relationship between
various demographic factors like age, income, qualification, marital status and
investment habits, investment avenues and risk-bearing capacity. It was found
that majority of women did not have detailed knowledge about all the
investment instruments. Women also generally preferred to invest in safe
investment avenues like Bank Fixed deposits, Post-office saving schemes and
bonds. It was found that women adopted a conservative approach while
investing their savings and many women were dependent on their husbands
and other family members to make investment decisions

 Rajeshwari Jain (2014) made a survey of working women in Ahmadabad

City. The relationship between income and investment patterns among
working women was analyzed. The researcher collected data regarding
income and investment pattern from women working in public sector as well
as women working in private sector. The main objectives for investment by
women were high returns, tax benefits, emergency need, retirement plans,
security for family and education and marriage of children. Members of
family and especially the husband influenced the investment decisions of a
married woman. The study revealed that women preferred to invest in Bank
fixed deposits followed by other avenues such as gold jewellery, insurance
schemes, post office schemes, PPF and real estate. Younger women were
willing to take risks and invest in shares and mutual funds as compared to
older women.
 37

 N Dharini et al (2014) opine that today’s women have got financial

independence. They also make decisions in savings and investment. Safety,
returns and capital appreciation were the main considerations in making
investments. Tax-relief was also an important objective while choosing a
particular investment avenue. The study revealed that educated women and
married women were more interested and aware of the various investment
avenues. Most of the women preferred to invest in bank deposits, life
insurance schemes, post office schemes, gold, silver and real estate. They are
of the opinion that Government should make better laws to protect the
interests of the investors.

 Puneet Bhushan (2014) thinks that Indians had an inclination to save.

However, Indian households invested a major portion of their savings in Bank
deposits. Due to low awareness levels about new financial products, people
invested in traditional, safe and low-risk investment instruments which gave
low returns. He found that as compared to stock market people preferred to
invest in mutual funds. Very few people invested in debentures and
commodity markets. The researcher suggested that people should be made
aware about different financial avenues so that they can invest in a variety of
instruments and thereby earn higher returns.

 Sonali Patil et al (2014) studied the investment pattern of salaried people in

Pune City. The researchers opine that in developing countries like India
mobilization of savings and their proper investment will lead to higher capital
formation, proper utilization of resources, increased production, employment
and income for the people. This will help people in the lower strata of society
to break the vicious cycle of poverty which is the consequence of very low
income and negligible savings. The study revealed that majority of investors
had awareness about different investment instruments, but still people
preferred traditional and safe modes of investment like Fixed Deposits of
 38

banks, investment in real estate and buying of gold. The most important factor
while investing funds was safety of the investment.

 R Sellapan et al (2013) conducted a study to gain knowledge about factors

influencing investment decisions of working women in Erode District of
Tamil Nadu. It was revealed that younger women were inclined to take risks in
investment and were willing to invest in shares and mutual funds as compared
to middle-aged women. The preferred investment avenues of middle aged
women were real estate and fixed deposits. In comparison to unmarried
women, married women were more interested and curious in making
investments. They felt that Government, Banks and other financial institutions
should introduce different investment schemes to suit the varying needs and
objectives of different segments of women based on age and marital status.

 N Geetha et al (2011) were of the opinion that people should choose their
investment avenues based on the specific need, risk preference and returns
expected from such investments. It was found that the relation between
investment avenues, gender and age groups was not significant. Income was a
major factor influencing the choice of investment instruments. Study also
revealed that awareness about shares and mutual funds was much lower as
compared to other investment avenues. Hence, awareness programmes should
be organized by mutual fund companies and stock brokers to increase
awareness about them. Dhiraj Jain et al (2012) conducted a research to find
out the impact of demographic factors on the level of risk taken by investors.
It revealed that demographic factors such as age, income level, marital status,
occupation and qualification had an influence on the investment decision of
investors to a major extent. It was also found that gender and the city of the
investors did not impact the decisions regarding their investments in a
significant manner.
 39

 Yogesh P Patel et al (2012) made a study to understand the behavioural

pattern of investments among salaried people in the private sector. Perceptions
of investors towards different investment avenues were also studied. Savings
are necessary to make investment. Return, risk and time are the main elements
of investment. The researchers concluded that young investors were willing to
take risks in investment and preferred to invest in schemes offering tax-
benefits, mutual funds and stock market whereas senior citizens opted for
more safe schemes of investment like post office schemes and Bank fixed
deposits. Female investors preferred to invest in gold. According to them, two
main factors of taxation and inflation should be considered while making
investment decisions.

 Balaji Ganesan (2013): In Behavioral Finance, a study is made about the

impact of various social, emotional and cognitive factors on the economic and
investment decisions of individuals and Institutions. These decisions further
influence stock market prices, returns and allocation of resources. The author
has explained various biases and prejudices in the minds of individuals which
influence their investment decision-making.

 C Sathiyamoorthy et al (2015) studied the investment pattern of salaried class

investors. Investment is undertaken with an expectation of return which is in
proportion to the risk assumed by the investor. The main objectives of
investment are capital appreciation, safety of investment, return on investment,
liquidity and tax-planning. According to them, factors like age of investor,
education level and number of family members are the influencing factors for
people while taking investment decisions. The study revealed that safety of
invested funds was more important than higher returns on the same. Bank
deposits were the most preferred form of investment. The main reasons for
saving and investment were children’s education, marriage and secured life
after retirement.
 40

 Ishwara P (2014) tried to study the behavior and levels of satisfaction of

salaried class employees towards various investment avenues. The modern
financial system offered various investment options for the investors to
achieve their goals. Hence, investors found it difficult to choose the right kind
of investments. Some investment avenues provide limited returns with low
risk whereas some investment alternatives provide high returns associated
with high risks. The researcher studied salaried class employees’ behaviour
and level of satisfaction towards financial, non-financial and physical assets. It
was found that majority of the people behaved in a positive way while
choosing their investments. The awareness level about marketable securities
was comparatively low. A major number of investors had a good level of
awareness regarding physical assets.

 Bhawana Bharadwaj et al (2013) through their study of salaried employees

concluded that majority of them preferred to invest with Banks, Post offices,
LIC and Provident Fund. This is due to the credibility and marketability of
such investment avenues. Though the employees were aware of industrial
securities like shares and debentures, investment in these securities was very
low. As the income increased, awareness about such securities also increased.
However, investment in them remained low due to fear of high risk. They may
be motivated to invest in shares and debentures by spreading awareness
through magazines, circulars, audio-visual programmes and other media.

 Heena Kothari (2014) studied the behavior of investors towards different

forms of investment. According to the researcher, different avenues should be
put forth to the different age groups in the desired form for consideration by
them. The younger generation should start saving and investing on a regular
basis at an early age. This will help them in saving more for the future needs.
The study also highlighted the varied viewpoints of people belonging to
different age groups about different avenues of investment. The findings of
this study can be used by management of organizations offering different
 41

investment options to find innovative ways of attracting investors and

providing better service.

 Durga Rao et al (2013) made a study of the influence of demographic factors

on investing money in the shares and securities of the stock market. When
people invest in shares of companies, money gets transferred from households
to business firms which in turn help in developing the economy. Generally,
investors study the share prices and sell them when the price rises to make
profit out of such sale. The experiences of many investors were not very
satisfactory and hence they are unwilling to invest in the stock market. The
regulatory bodies and financial organizations should organize programmes on
a regular basis to make people aware about the advantages of investing the
stock market. They should also be made aware of the risks associated with it.
Proper knowledge before investing in shares will instill confidence in the
investors.

 Deepak Sood and Navdeep Kaur (2015) tried to understand the relationship
between savings made and invested in different avenues by salaried investors
of Chandigarh (India). It was found that age, income, sector of employment
and education had an impact on the investment pattern of salaried individuals.
The various reasons for saving and investing were education of children, their
marriage, having secured life after retirement and buying house property. Most
of the salaried individuals preferred to invest in traditional investment avenues
such as Bank fixed deposits, insurance policies and government securities.
They were apprehensive of investing in stock market and commodity market
due to lack of proper knowledge regarding the same. Safety, stability of
returns and tax-benefit were the main considerations for investing. To attract
the savings of salaried investors, new and attractive schemes should be
introduced which will enable them to achieve their objectives.
 42

 Varsha Virani (2014) did a research on the savings and investment pattern of
school teachers in Rajkot City (India). The study was done on the basis of
investments made by teachers employed in public and private sector schools.
It was found that they invested their savings in safe avenues such as Bank
fixed deposits to secure their future needs. Investment in risky instruments like
shares and mutual funds was to a very limited extent. The investors lack
awareness about other avenues of investment like shares, mutual funds and
commodity market. Hence, they should make themselves aware of the benefits
of investing in such instruments by reading newspapers, magazines, etc.

 P Bhanu Sireesha and Sree Laxmi (2013) through their research tried to
analyze the effect of demographic factors on the investment pattern of peple in
Hydrebad and Secunderabad cities of India. The research found that age,
gender and friends had tremendous influence on the investment decisions
made by individuals. The respondents were conservative by nature. Most of
them saved about 30% of their income and had moderate risk taking attitude.
They were concerned about the safety of their investments and were satisfied
with reasonable rate of returns. The conclusion arrived from the study was that
investors were more interested in the safety of their investment rather than on
maximizing the returns from them. Most of the investors had a medium risk-
taking attitude. Various demographic variables also influenced the choice of
investment. Such studies could help financial advisors in framing investment
products which will be suitable to individuals of different ages, incomes and
family sizes.

 Prasanna Chandra (2006) says that the two key aspects of any investment are
time and risk. Current sacrifice leads to expected benefits in future which are
uncertain. A mutual fund represents a vehicle for collective investment. When
an individual participates in a mutual fund, he also becomes one of the joint
owners of the investments held under that scheme. There are four ways in
which a company may raise equity capital in the primary market namely by
issue to the public, by rights issue (preferential issue to the current
 43

shareholders), by preferential allotment and by private placement. In an

efficient market, the market price of f a security is based on a realistic estimate
of its intrinsic worth. Market efficiency does not imply that the market price
equals intrinsic value every time.

 Aswath Damodaran (2008): According to him, there are many stories related
to financial investments of individuals which are good to listen and hear but
do not hold true under close scrutiny. Human beings get easily influenced by
good stories than by graphs and figures. Most good investment stories appeal
to a fundamental element of human nature, such as greed, hope, fear or envy.
Successful investment sales people have an uncanny ability to gauge an
investor’s weak spots and create a story to take advantage of them. An
investor who hates risk prefers to invest in safe treasury bonds or low risk
corporate bonds rather than equity shares as such bonds offer guaranteed
returns. For many years now, people have been using price-earnings ratio to
find out whether a stock is cheap or costly in the stock market. When a person
buys shares of a company, he is exposed to the risk of that business. When the
business faces a downturn, the earnings and share prices will reflect the same.
It is easier to sell growth stocks in buoyant markets when investors believe
that growth is inevitable.. Based on his understanding and risk-taking aptitude,
he should formulate his own investment strategy which will improve his
investment success rate.

 According to Dhanesh Kumar Khatri (2011), the development and growth of a

country is greatly influenced by its financial system. It provides for the
monetary inputs as well as the desired direction for the growth of the
economy. Both the development of an economy and that of the financial
system are inter-dependent which means that growth of one will influence the
growth of another. Indian financial system includes the following: 1. financial
markets, 2. financial institutions, 3. financial instruments and 4.financial
services. Investment Avenue means a particular organization or system in
which an investor can place his surplus funds with the aim of obtaining certain
gains in the future. Different investment avenues have different features. Level
 44

of risk, rate of return, liquidity, tax benefits and convenience of investing vary
from one Investment Avenue to another. Companies can issue different
securities in the primary market to raise funds for their businesses. There are
many mechanisms available to a public limited company, but a private limited
company can issue securities through private placement or through Rights
issue. Secondary market or stock exchange is a market for outstanding
securities of corporate and Government as per set rules. Derivatives are those
instruments, the value of which depends upon the underlying asset on which it
is created. Portfolio is a collection of different financial investments held by a
person at a point of time. Maximization of returns is a major consideration
while designing a portfolio.

 Preeti Singh (2010) in her book on ‘Investment Management’ has provided an

insight in to the world of investments. She has explained how systematic
investments should be made by individuals. The importance of balancing risk
and returns has been emphasized. Quick money trading does not always bring
about profitable results. The book explains the functioning of the financial
markets. Investors are provided guidance on how to manage a portfolio
through careful risk and return analysis. It provides the theories of
fundamental analysis, technical analysis and efficient market theory to explain
to the investors the process of analyzing investments and constructing a
suitable portfolio to achieve various goals of short-term as well as long term.

 V. A. Avadhani (2011): According to him, an investor has various alternative

avenues of investment for his savings to flow in accordance with his
preferences. The investors are interested in real rates of return, net of taxes.
Various measures are devised to protect the investors from the malpractices of
financial intermediaries. The institutional structure of the capital market has
undergone vast changes over the last few decades. Savings and investment
which are promoted by the capital market are the basis of capital formation
and economic progress of a nation. The main functions of capital markets
which are a part of the organized financial system in India are savings
 45

mobilization and promotion of investments. The capital market reforms were

initiated in 1991 as part of the structural reforms consisting of industrial
deregulation, privatization, globalization and liberalization of domestic
economic policies and foreign exchange policies.

 Zvi Bodie, Alex Kane, Alan J. Marcus and Pitabas Mohanty (2009) have
written as to how the vast expansion of financial markets has taken place in
the past few decades due to innovations in securitization and credit
enhancement that gave birth to new trading strategies. These strategies have
been made feasible by developments in communication and information
technology as well as by advances in investment theories. Assets can be
classified into real assets and financial assets. The productive capacity of a
society determines its material wealth. But the productive capacity in turn is
determined by its physical resources such as land, buildings, machines and
knowledge which are used to produce different goods and services. In
comparison to physical assets, financial assets like stocks and bonds are only
paper certificates which are recorded in books or computers. There is no direct
impact on the productive capacity due to such assets. However, individuals
and organizations hold claims on real assets through such financial assets. The
holders of financial assets have a claim on the income generated by the use of
real assets represented by them. The use of real assets (physical resources)
helps in generating income for the economy. However, financial assets like
stocks and bonds determine the allocation of income and wealth among the
stakeholders. When individuals choose to invest by buying financial assets,
they invest in securities issued by companies involved in producing goods and
services. The money raised by issuing such securities are used to buy real
assets involved in production of goods and services. Investors get returns from
the income generated by the use of real assets that have been purchased from
the funds generated by issuing financial instruments.

 Zvi Bodie (2009) is of the opinion that both finance and medicine are studies
that are application oriented. Medicine is an applied branch of science of
 46

biology. In the same way finance is an applied branch of the science of

economics. Being a branch of economics, finance should follow the principles
of economics in the true sense. Saving, investing, matching and diversifying
are some of the basic concepts of economics. These concepts also play an
important role in financial decision making. Financial practices evolve over a
period of time based on experiences. However, the basic principles of
decision-making do not change with time. The author has mentioned the
following basic principles that must be followed in rational financial decision-
making: 1. Financial decisions should be based on an individual’s goals and
objectives and his personal constraints. 2. The rate of inflation should be
considered. 3. The market prices of securities reflect their fair market values.
4. Financial advice should be taken from reliable sources and efforts should be
made to seek evidence for such advice.

 Stephen George (2000) is of the opinion that regardless of the strategy that an
investor follows, investing in well-managed companies can help an investor to
reduce the risk. Even better, it can improve the return on investments. Well-
managed companies have superior quality, innovative products and services,
efficient processes and visionary leadership. Employees of such companies are
highly motivated and display a high level of commitment. Customers are loyal
to such companies. Due to these reasons, they deliver profits. The ability to
identify well-managed companies can give investors greater confidence in
their investments. All things being equal except the quality of management, an
investor is likely to earn more if he considers quality of management while
making investment decisions.

 Steven G. Blum (2014) has explained in his book how the application of
powerful negotiation methods can bring extraordinary results in investment
decisions. Negotiation is what happens when we want something from
someone else or they want something from us. Thus, from our earliest
moments to our dying day, we are negotiators. There is a world of difference
between being someone who negotiates and being a skilled negotiator. An
 47

investor can use the tools and techniques of negotiation in his financial life to
bring remarkable monetary rewards.

 Dr. AnanthapadhmanabhaAchar (2012) studied the savings and investment

pattern of teachers employed in primary and secondary high schools and also
those employed in colleges and university of Udupi District of Karnataka
State. During the study, it was found that the efficiency of a teacher was
greatly influenced by his standard of living. The level of consumption,
savings and investment greatly influenced his standard of living. The attitude
of a teacher towards these factors influenced the standard of living which in
turn influenced the efficiency of a teacher and the education system as a
whole. It was found that age, marital status, gender and lifestyle of
individuals influenced the savings and investment pattern of teachers in the
region under study. Other factors such as family income, stage of family life
cycle and upbringing also determined the savings and investment pattern.

 Megha Goyal and Dr. Anukrati Sharma (2014) conducted a study of the
investment decisions made by middle class individuals engaged either in
service or business whose income was between Rs. 2,00,000 and Rs. 5,00,000
per annum. One of the main reasons for studying the investment behaviour of
middle class individuals was the fact that people belonging to this group
influenced the demand and supply position of India to a great extent. Middle
class population was the key element for economic development in India.
Their future needs influenced their savings and investment pattern. The study
was conducted to know the preferences in investment avenues such as Bank
deposits, insurance policies, provident funds, real estate, precious metals and
stones, money market and capital market instruments. It also examines risk
bearing capacity, balancing of expenses and savings and other factors
influencing their investment decisions. The study revealed that people
belonging to the middle class preferred to invest in safe and less risky
investment avenues such as bank fixed deposits, post office deposits, public
 48

provident fund and life insurance policies. However, due to the low returns on
these investments, they were not satisfied and found it difficult to manage
their future needs. The awareness level about stocks and debentures was also
low. Hence, Government and policy makers should make programmes and
policies to increase the awareness level and to suit the investment attitudes
and needs of middle class people. Schemes should be made for easy housing
finance with low interest rates on such loans. Tax benefits should be given on
long term savings so that long term investments are promoted.

 Roopadarshini S and Nagaraj A M (2015) have attempted to identify factors

which influence investors to invest in mutual funds. A mutual fund is a trust
that collects the savings of many individuals who have common financial
goals. The trust then invests the money so pooled in investment instruments
keeping in mind the financial goals. Risk and return are two important
elements which have to be kept in mind before investing. Diversification of
investments is necessary to diversify risk and maximize returns. All the
investors may not have the necessary skills and knowledge to undertake
proper analysis of different investment avenues before investing in these
avenues. Hence, to get the advantage of professional advice and guidance,
many people prefer to invest in mutual funds. Mutual funds are gaining a lot
of importance in the capital markets the world over. The growth of mutual
funds helps in the development of an economy. Mutual funds lead to more
efficient capital markets. The study revealed that though the returns on mutual
funds were higher, many investors still preferred to invest in traditional forms
of investment like fixed deposits and gold. This is due to lack of proper
information about various mutual funds, their functioning and management.
Hence, mutual fund companies must take up measures to create awareness
among the people about mutual funds.

 Sanjay Kanti Das (2012) tried to understand the investment behaviour of

middleclass households of Nagaon District of Assam through his research.
 49

The GDP and income of individuals and business firms are greatly influenced
by economic cycles of boom, recession, depression and recovery. This in
turn, affects the expenditure, savings and investment pattern of the people. To
meet the demands of the changing economic scenario and the changing
investment behavior, financial institutions come up with innovative
investment products. Researcher made an attempt to study the preferred forms
of investment avenues of middle class households in the selected region, to
know the various objectives of investment and to find out whether there was
an increase in the savings and investment of these households. It was found
that the most popular investment avenue was bank deposits. After bank
deposits, people preferred to invest in insurance and other small saving
schemes. These avenues provided better safety and security. Tax benefits
offered by various investment avenues were also considered. People were
mainly interested in investing for a medium term. Very few households
considered investment for long term. It was also found that the savings of the
households increased in the past five years which was a direct result of
increase in income. The study also revealed that awareness about investment
avenues should be created among households and individuals.

 Meenakshi Chaturvedi & Shruti Khare (2012) studied the level of awareness
about investment avenues, preferred investment avenues of individuals and
also the factors that influenced their perceptions and investment decisions.
They also tried to assess the relationship between demographic factors like
age, education, occupation and income level and investment decisions of
individuals. In the study, it was found that Bank deposits were the most
preferred choice which was closely followed by life insurance policies and
other schemes.

 Giridhari Mohanta& Sathya Swaroop Debasish (2011) state that the main
objectives for saving and investing were to meet the financial, social and
psychological needs of the people. The main factors considered while
 50

choosing investment avenues were safety and security, capital gains, tax
benefit, periodic return, ease of purchase and liquidity to meet contingencies.
They found that investors did not act in a rational manner while making
investments. Some emotional and cognitive factors had an influence on their
investment decisions. People relied more on information and took decisions
based on such information and biases in their mind. The decisions also varied
according to the types of investors, demographic factors such as age,
occupation, income level, gender and marital status and their risk bearing
capacity. Family background and environment also played a role in
investment decisions. The study also tried to explore the psychological factors
which influenced the investment decision making process and investment
pattern of individuals, especially urban individuals based on the principles of
behavioural finance. Individuals have varied financial, social and
psychological needs. Through a combination of various investment avenues,
such needs are fulfilled by individuals. Individuals base their investment
decisions on factors such as safety and security, getting periodic return or
dividends, high capital gain, secured future, liquidity, easy purchase, tax
benefit, meeting future contingency etc. The study found that females
preferred to invest in safe avenues as compared to males. Males were willing
to invest in risky avenues such as shares for higher returns. A significant
relationship between income and occupation and the investment pattern of
individuals was also observed. The researchers think that agents and
investment consultants can play a significant role to make people aware about
various investment avenues. They should also help in designing the
investment pattern of individuals so as to maximize their returns and fulfill
their investment objectives.

 BNY Mellon (2015) studied women’s attitude when they were investing their
money. This study can help the advisors to give proper guidance to women
investors. He has also given a new approach that can guide women in
attaining their goals. It was found that nearly two-thirds of annual spending in
USA was controlled by women. Women had a strong influence on financial
decisions and 75% of women in USA took the responsibility of daily
 51

household expenditure. When women took the advice of financial

consultants, they were more satisfied with their investment decisions. The
financial goals of women were similar to those of men such as maintaining
life style, retiring comfortably and taking care of health and medical needs of
self and other family members. However, women also faced some challenges
which were unique to them. Women lived longer, earned and saved less and
had to incur more on health and medicine as compared to those of men.
Women have a significant role in the growth and development of a country
and their role is gaining importance due to rising trends in their education and
employment level. Hence, advisors should focus on attracting women clients.
In USA, the proportion of working moms in the labour force is also on the
rising trend. Many of these women also earn more than their husbands. Their
success rate at the work place is also quite high. Hence, financial advisors
must make efforts to attract women client and design investment portfolios to
suit their financial goals and risk appetite.

 Harsh Purohit and Ravisha Chutani (2016) attempted a study of the attitudes
of urban working women of Jaipur City in India towards various mutual fund
schemes. The study involved an analysis of the various demographic factors
influencing their attitude while investing in mutual funds. Women who are
interested in diversifying their portfolios should look at mutual funds as a
desirable option. Mutual funds offer various benefits such as good return,
relatively less risk, liquidity and tax benefits. They found that women
investors were risk-averse and generally preferred investments carrying low
risk. Due to lack of awareness about mutual fund investments, women
avoided investing in mutual funds and preferred investing in traditional
investment avenues like Bank fixed deposits and post office deposits. If
women investors are made aware of and given proper and adequate
knowledge about mutual funds, it will help them to design proper portfolios
to maximize their returns.
 52

 Anju K J and Anuradha P S (2015) studied the investment behaviour of

Information Technology professionals from Bangalore City in India. With
proper planning of goals and financial resources available to an individual,
investors can design appropriate portfolios to maximize their wealth. A clear
understanding of saving and investment behavior can be relevant to policy
makers, financial institutions and financial advisors to maximize individual
wealth of investors. This will also contribute to the economic progress of the
nation as a whole.

 Brahmabhatt, P.S. Raghu Kumari and Dr. Shamira Malekar (2012) made a
study to analyze the investment behavior and investment preferences. Due to
the changing economic conditions and the availability of various investment
avenues, investors are faced with challenges in selecting the right investment
options to achieve their financial goals. The Corporate sector should be aware
of the perceptions and attitudes of the investors so that they can offer the right
kind of securities to them which will also ensure the survival of the
Companies in the competitive environment. In the study, it was found that
many investors of the equity market indulged in day trading which may turn
out to be disastrous. Individuals should be encouraged to invest in equity
shares from a long term point of view. Financial literacy campaigns should be
organized at regular intervals at various places so as to educate individuals
about stock market which is highly rewarding in the long run.

 Evi Steelyana (2012) opines that the economic growth and progress of a
nation is greatly influenced by the role played by working women of that
nation. Personal income of the working women gives them an opportunity to
be a part of the family financial decisions. Working women generally tend to
invest keeping in mind the welfare of the family and long term goals. The
researcher tried to understand the attitudes of working women towards
various banking investment schemes and investment avenues in the capital
market. An attempt was also made to study their risk taking abilities while
 53

making financial investments. Women should diversify their portfolios by

mixing banking investment instruments, mutual fund products and capital
market instruments. Factors such as educational background, investment
knowledge, awareness of investment avenues, individual financial goals and
risk-profile are some of the influencing variables in investment decision
making.

 Juwairiya P.P (2014) studied the financial literacy and investment behavior
of working women in Kerala (India). It was observed that the working women
depicted a conservative attitude with regards to investment of their savings.
They preferred to play safe regarding the choice of investment avenues. They
also did not have sufficient knowledge to make proper investment decisions.

 DSP Blackrock Study involved a survey of 14 cities in India. As per the

study only 18% of single working women made their own investment
decisions. Barely 13% of married working women made independent
investment decisions. Safety was the main factor influencing the investment
decision. Working women preferred to invest for longer periods. Most of the
working women were only informed of the investment decisions after they
were taken. The proportion of independent decision makers was more
amongst divorced and widowed women.

 Partha Sinha (2013) reported that nearly 80% of the working women
(excluding divorced and widowed women) did not take their own investment
decisions and were dependent on close family members such as parents,
brothers and sisters. They also took advice from friends and financial advisers
for such decisions. Many did not even have a say on such matters. This was
due to insufficient financial knowledge, risk-aversion and lack of financial
freedom to take financial decisions. It was also found during the survey that
due to low risk taking attitude of women, they invested mainly in safe
 54

investment avenues such as bank deposits, life insurance, gold, post office
deposits and bonds. Their awareness regarding bank savings, life insurance
and gold was much higher as compared to that of mutual funds and shares.

 Bhagaban Das, Sangeeta Mohanty, Nikhil Chandra Shil (2008) are of the
opinion that Insurance and Mutual fund industry play an important role in the
capital market in India post 1990. Many researches in this field have also
pointed out the importance of these two as investment vehicles. However,
very little study has been made about investment preferences in insurance
policy schemes and mutual fund schemes. Hence, they attempted to make a
comparative study of the perceptions, behavior and preferences of individuals
in India while investing in insurance policy schemes and mutual fund
schemes. During the study, it was observed that the level of education had an
impact on the investment preferences of individuals. Individuals who were
graduates/post graduates invested more in life insurance policies whereas
those individuals who were professionals invested their major funds in mutual
funds.
 G Arti, Julee, S.Sunita (2011) made a study of the differences in the process
of investment decision making between male and female investors. It was
found that the awareness level regarding different investment avenues was
higher in males as compared to that of females. They also found that females
had less confidence in investment decision-making as a result of which they
were not satisfied with their decisions. Female investors were more careful in
the choice of investment avenues as compared to males. Women preferred to
invest in low risk avenues and males also invested in high risk avenues such
as equity shares.

 Neha S. Shukla (2016) has done an analysis of preferences of investors in

relation to different avenues of investments. The researcher studied the
investment pattern of only salaried persons in North Gujarat region. The
researcher also studied the impact of age, income, gender and education on
 55

the investment pattern. Though all the respondents invested in different

investment avenues, most of them preferred to invest in Bank Fixed Deposits,
Post Office Schemes, Gold and Silver. The main reasons for saving and
investing were for purchasing house property and for long term growth.
Individuals were significantly influenced by their relatives and friends in
investment decision making.

 Gaurav Kabra, Prashant Kumar Mishra, Manoj Kumar Dash, (2010) studied
the different factors that influenced the investment decisions of investors in
India. Demographic factors influenced the investment decisions to a great
extent. Hence, it was necessary to assess and understand the investors to
know the investment preferences. The study revealed that age and gender had
an impact on the investor’s risk taking capacity.

 S. Mane and R. Bhandari (2014) studied the behavior of investors in Pune

while making a choice of investment options. Investors have to make a choice
from the available investment avenues to design a suitable portfolio. This will
enable them to satisfy their goals within the desired period of time. The study
concluded that investors preferred to invest in those avenues which provided
risk free returns. In Pune, investors preferred to invest in land and gold as
they carried good return and capital appreciation. Women played a role in the
investment process.

 Dr. S. Suriya Murithi, Narayanan, B. Arivazhagan (2012) made a study to

analyze the behavior of investors while making investment decisions in India.
They found that Indian investors were aware about portfolio management.
They followed the mantra of ‘Prevention is better than cure” while making
investments. In short, Indian investors preferred to invest in less risky type of
investment instruments. Many investments in the portfolio are not considered
good for healthy investment. Even well educated and highincome individuals
 56

preferred to invest in safe and secure investment avenues. In India, people

considered purchase of gold and land to be the ideal forms of investment as
they provided good return and capital appreciation.

 V. Shanmugasundaram (2011) opines that behavior of investors is greatly

influenced by different emotions like over –enthusiasm and extreme reaction
in a highly uncertain market. Many investors get carried away by reports in
magazines, tips from friends and share brokers and communication received
through various media. The rational or irrational behavior of investors has
been analyzed in relation to stock market news like declaration of dividend,
rights issue and bonus issue. It was revealed that investors depicted rational
behavior towards such information. Research done in many countries has
shown that many psychological factors influenced the behavior and decisions
of investors. Investors depicted different behavior in different market
conditions which are bullish or bearish in nature.

 K. Parimalakanthy and M. Ashok Kumar (2015) studied the behavior of

individual investors from Coimbatore City (India) towards various investment
avenues available in India. They also studied the factors which had an
influence on their investment decisions and the impact of demographic
variables on risk taking abilities of the respondents. The study found that
safety of investment was the most important factor in the choice of
investment avenues. Hence, the most preferred investment avenue was bank
deposits followed by purchase of precious metals like gold and silver. Capital
appreciation was an important factor in the case of long term investments.
There was a need to create awareness about various financial products. Policy
makers should come out with investment instruments which provide safety
combined with reasonable returns.
 57

 Abhijeet Birari & Umesh Patil (2014) studied the habits of youth related to
savings and their expenditure. For the purpose of the study, youth from
different levels of education such as junior college level, graduate level and
post-graduate level were selected in the city of Aurangabad, India. Spending
habits of youth belonging to different levels of education were found to be
significantly different. Most of the youth spent a large proportion of money
on consumable goods and the proportion of savings and investment was very
less. The spending patterns of male and female youth also were different.
Shopping, fast food, mobile phone expenses and conveyance were the main
items of expenditure of youth. The level of awareness about savings and
investment was found to be low.

 Suman Chakraborty and Sabat Kumar Digal (2011) studied the saving and
pattern of investment of individual households in Orissa. During the study it
was found that demographic factors such as occupation, income level and age
significantly influenced the savings of individuals. There was a tendency for
female investors to save more as compared to males and that too in a
disciplined manner. It was also observed that women were not willing to take
risk in investing but they tried to increase their savings with increasing levels
of income.

 Rani Deshpande & Zimmerman (2010) explored the potential of Youth

Savings Accounts (YSAs) as a vital component in youth development and
financial inclusion. The study found that the best way of encouraging youth to
save and invest is by offering major financial incentives. Savings of youth
had the potential to bring about positive effects on development of youth and
in financial inclusion. The study emphasized the need to design investment
products that will attract the savings of the youth.
 58

 Dr S.M. Tariq Zafar, Dr Adeel Maqbool and S.M. Khalid (2013) studied the
preferences and the factors influencing investment decision making of
individuals in case of mutual funds in Lucknow city. There are various
internal and external factors which impact stock market prices. Investors
prefer those investment avenues which give maximum return with minimum
risk. Mutual fund is an option which investors should explore for higher
returns. Awareness of mutual funds, their past performances and risk factor
were the main variables in selection of mutual funds.

 Vipin Kumar and Preeti Bansal (2014) studied one of the fastest growing
investment avenues in India, namely mutual funds. Investing in mutual funds
is simple, accessible and affordable. Investing in mutual funds offers various
benefits such as good returns, average risk, diversified portfolio, liquidity and
convenience. Their study focussed on the various factors that influenced
investor’s perceptions and expectations from mutual funds. It was found
individuals preferred to invest in bank deposits and post office deposits due to
lack of proper knowledge about mutual funds. In mutual funds, the equity
option and the SIP mode of investment found favour among investors.
Investors did not do a proper analysis of the risk involved in various
investment avenues and were merely dependent on their brokers for doing the
same. Mutual fund companies should design schemes that will satisfy the
needs of investors while ensuring safety of investment with moderate risk.
Efforts should be made to educate investors about the pros and cons of
various schemes. Government and regulatory bodies should make stringent
laws to protect and safeguard investors from unscrupulous mutual fund
companies, agents and advisors so that they get confidence in their investment
decisions.

 G. Delina and Dr. R. Prabhakara Raya (2013) examined the problems faced
by working women in their attempt at balancing their personal and
professional lives. Due to high cost of living and demands of society, the role
of woman in modern times has changed from being a simple home-maker to a
 59

career-oriented woman. A woman has to prove herself in the professional

front as well as fulfill the responsibilities in her home. This dual role of a
woman puts tremendous pressure on her physical and emotional well- being.
An attempt was made to measure employees’ work life balance. It was found
that working hours in a week and the stress associated with the work were
important factors which influenced work-life balance. Other factors like
occupation, age and household responsibilities also affected quality of life of
working women. Conflicts due to work-life balance of working women
affected their physical and mental well-being. Many working women reported
stress-induced head-aches, muscle-tension, weight-gain and fatigue which
also led to depression. Organizations should have regular health, wellness and
recreational programmes for their employees which will help in reducing
work-related stress.

 Vijaya Mani (2013) through her research tried to get insight into work-life
balance achieved by women employed in different occupations in Tamil
Nadu, India. Data was collected from first generation women-earners.
Perception of women regarding values, attitudes and beliefs were analyzed.
The findings revealed that conflict of roles in households, lack of recognition,
politics at work place, discrimination on account of gender, elderly and child
care issues, health related problems, inefficient time management and absence
of proper social support were the major factors that influenced work-life
challenges of working women in India. Though women were hardworking,
sincere, committed and responsible in their jobs, they faced problems due to
limited mobility on account of family responsibilities. When it came to
promotions and responsibilities at the work place, they were not treated on
par with the male employees on account of time constraints and family duties.
Relationships with male subordinates were another major issue at work place.
As compared to married women, unmarried women had fewer problems in
managing professional and personal life. However, unmarried women had to
face constraints in socializing with colleagues and friends.
 60

 Irina Verma and Dr. Satish Soni (2015) studied the different ways adopted by
working women to balance work life and personal life. Working women all
over the world have tremendous pressure to excel in their careers and also
manage the household responsibilities in an efficient manner. This takes a toll
on their physical and mental health. Technological gadgets like mobile
phones and i-pads have helped in integrating professional and personal life to
some extent. Proper time management, supportive partner and close relatives
and the ability to say ‘No’ to extra responsibilities can help working women
to achieve qualitative personal life. Age, level of education, income level and
marital status are some of the factors which influence the abilities and
perception of women in achieving work-life balance.

 G. Shiva (2013) in his research examined the challenges faced by working

women in Kerala, India while attempting to balance their personal and
professional lives. The household responsibilities and demands of work make
it very difficult for working women to balance both work and personal life.
Organizations should create favourable work place culture and pleasant
environment which will positively influence the life of their employees at
work and also outside the work place. Organizations should also periodically
review their processes and practices to find out whether those practices led to
employee stress. During the study, it was found that employees belonging to
lower level and higher level faced problems in balancing work-life
responsibilities. Excessive working hours and too much of family interference
increased the risk of physical and mental health problems for women. Issues
relating to working hours, work culture and behaviour of managers in
organizations should be dealt with in an appropriate manner to reduce work
related stress of working women.

 Renuka Devi S.V. and Kanagalakshmi L. (2015) through their research

studied the factors which had an influence on balancing household work and
professional work of women working in Information Technology companies
 61

in Chennai. There has been a growth of women professionals in the IT sector

in the past few decades in India. The main reason is the unprecedented growth
of the IT sector all over the world. This has led to stress among these working
women to balance the professional role and the traditional role of that of a
home maker. Women working as IT professionals need very good knowledge
in the ever-changing IT domain. Due to fast changes in the field of
Information Technology, there is a need to acquire latest knowledge about the
various developments taking place on a regular basis. Simultaneously, women
also have to take care of the children, aging parents and other household
responsibilities. This exerts physical and mental stress on women who try
their level best to maintain a balance between two sets of demanding
responsibilities. All the above factors have made worklife balance a major
challenge for all working women especially women professionals from the IT
field.

 Kumari K Thriveni and Devi V. Rama (2012) undertook a study of the

demographic variables that have an impact on the work-life balance of
working women in Bangalore, India. In India, women are working in all
sectors which show that the gender inequality in employment is reducing.
Women occupy positions of responsibility in many organizations. They
contribute to a great extent in the success of their organizations. This
indicates that the efficiency and contribution of women in different areas is
felt which is a positive sign. At the same time, these working women also
have to manage their responsibilities at their homes. There are various factors
affecting work-life balance of women. However, the demographic variables
such as age, qualification and income determine the ability of women to
manage both professional and personal responsibilities in an efficient manner.
During the study of women employed in various sectors like IT, BPO,
Marketing, Insurance, Banking, Education and others, it was found that there
was a significant influence of demographic variables on the work-life balance
of women employees. This aspect should be considered by organizations to
frame appropriate policies for employees so that they address their work-life
challenges in an efficient way.
 62

CHAPTER 04

DATA ANALYSIS

The data analysis portion is the backbone of any primary or secondary research.
There are various tools of data analysis that helps the research. The data analysis
portion is the backbone of any primary or secondary research. There are various
tools of data analysis that helps the researcher to interpret his data into final
results.

The data collected in this research was analysed using the most effective tool of
market research i.e., Google Forms.

The researcher undertook to study the investment pattern of educated working

women of Mumbai city and its suburbs. The researcher has made use of various
sources of data such as research papers published in research journals, magazines
and websites to collect secondary data. Primary data was collected by
interviewing respondents using a questionnaire. Data so collected has been
presented in tabular and graphical form for analysis and interpretation so as to
arrive at proper conclusions. Analysis of the data was done using SPSS
(Statistical Package for Social Sciences). Various statistical tools and techniques
were used such as percentages, tables, chi- square test and others.
 63

CHAPTER 05
GRAPHICAL DATA AND INTERPRETATION

PROFILE OF THE RESPONDENTS:

1) Distribution of respondents according to their age groups.

AGE GROUP FREQUENCY PERCENTAGE

(in years) %
10-20 37 69.8
20-30 15 28.4
30-40 and 1 1.9
above
Total 53 100

30 TO
40 AND FREQUENCY DISTRIBUTION
ABOVE
2%

20 TO 30
28%

10 TO 20
70%

INTERPRETATIONS:

The above Table & Graph indicate that out of 53 respondents interviewed, 69.8% of
the women are in the age group 10-20 years, 28.4% of the women are in the age group
20-30 years, 1% of the women are of the age group 30-40 years and the remaining
women are in the age group of 50 and above. This clearly shows that majority of the
women belong to the age group 10-20 years.
 64

2) Distribution of respondents according to Gender.

Options No.of Responses Percentage%
Male 7 86.8%
Female 29 13.2%
Prefer not to say 0 0%
Total 36 100%

frequency distribution

males
13%

females
87%

INTERPRETATION:
Above table shows that out of 53 respondents 86.8% were females and 13.2%
male respondents. This shows that there are more female respondents.
 65

3)Distribution of respondents according to their Occupations.

Occupation Frequency Percentage%
Service 9 17
Professional 1 1.9
Daily earner 0
Student 42 79.2
Bussiness person 0
Homemaker 1 1.9
Total 53 100%

FREQUENCY DISTRIBUTION

SERVICE PROOFESSIO
17% NAL
2%

STUDENT
81%

INTERPRETATION:

The above data shows that most of the investors belong to the student section.bringing
young investors in light. About 17% are service sector investors and 81% in students
and about 1% are professionals.
 66

4) Distribution of respondents according to area of residence in Mumbai and its

suburbs.

Mumbai Area Responses Percentage%

South 3 6.1%
West 41 83.7%
Central 3 6.1%
Harbour 2 4.1%
Total 53 100%

FREQUENCY DISTRIBUTION
SOUTH WEST CENTRAL HARBOUR

3%

6% 6%

85%

INTERPRETATION:

The above graph and table shows that west side has most no. of residents in mumbai
city.
 67

5) Distribution of respondents according to income level.

Income Frequency Percentage%

Upto 2 lakhs 18 34%
2 to 5 lakhs 4 7.5%
5to 8 lakhs 1 1.9%
Above 8 lakhs 2 3.8%
Prefer not to say 28 52.8%
Total 53 100%

FREQUENCY DISTRIBUTION
UPTO 2 LAKH 2-5 LAKH 5-8 LAKH ABOVE 8 LAKH

34%

53%

7%

4% 2%

INTERPRETATION:

The above data shows most people refuse to mention about the income .upto 52.8%
do not share income info. About 34% peoples income is above 2 lakhs and only
around 4.5% have income above 2lakhs.
 68

 ANALYSIS ABOUT SAVINGS AND INVESTMENT.

1) Importance of savings.

IMPORATANCE OF FREQUENCY PERCENTAGE%

SAVINS
Strongly Disagree 0 0
Disagree 0 0
Neutral 2 3.8%
Strongly Agree 41 77.4%
Agree 10 18.9%
Total 53 100%

FREQUENCY DISTRIBUTION
STRONGLY AGREE AGREE NEUTRAL

3%

19%

78%

INTERPRETATION:

The above Table and Graph shows that about 77.4% people belive in saving as the
most important part of their income. They strongly agree to it. Also no believes in not
saving so no one disagreed to it.
 69

2) Proportion of savings out of income.

% of Income saved Frequency Percentage%

0-20% 30 56.6%
20-40% 13 24.5%
40-60% 8 15.1%
60-80% 1 1.9%
80-100% 1 1.9%
Total 53 100%

FREQUENCY DISTRIBUTION
0-20% 20-40% 40-60% 60-80%

2%

15%

25% 58%

INTERPREATATION:

The above data shows that 0-20% of income group people save the most around 58%.
The resspondents in 20-40% save upto 25% and 40-60% income group people save
about 15% of tier income while 60-80% income people save only 2%.
 70

3) Importance of savings and investment for various purposes:

a) For buying property.

Importance Frequency Percentage%

Important 31
Not Imporannt 3
Less Imortant 9
Very Highly Important 10
Total 53 100%

10
9
8
7
6
5 FREQUENCY DISTRIBUTION

4 Column1
3 Column2
2
1
0
IMPORTANT NOT LESS VERY
IMPORTANT IMPORTANT HIGHLY
IMPORTANT

INTERPRETATION:

The above data shows that around 31 no of people think its important to buy property
or invest savings there.3 no of people thimk its not so important.
 71

(b) For children’s education and marriage.

Imporance Frequency
Important 22
Not Important 10
Less Important 6
Very Highly Important 15
Total 53

25

20

15
FREQUENCY DISTRIBUTION
Column1
10
Column2

0
IMPORTANT NOT LESS VERY HGHLY
IMPORTANT IMPORTANT IMPORTANT

INTERPRETATION:

The above data shows that out of 53 respondents 22 think its important to save and
invest. While 10 of them think its not so important.
 72

(c) For health and medical expenses.

Importance Frequency Percetage%

Important 31
Not Important 1
Less Important 3
Very Highly Important 18
Total 53 100%

35

30

25

20
FREQUENCY DISTRIBUTION
15 Column1
Column2
10

0
IMPORTANT NOT LESS VERY HIGHLY
IMPORTANT IMPORTANT IMPORTANT

INTERPRETATION:

The above data shows that 31 no of people think it is important to save for medical
expenses.
 73

(d) For travel, leisure and entertainment.

Importance Frequency
Important 22
Not Important 6
Less Important 21
Very Highly Important 4
Total 53

FREQUENCY DISTRIBUTION

IMPORTANT
NOT IMPORTANT
LESS IMPORTANT
VERY HIGHLY IMPORTANT

INTERPRETATION:

The above data shows that out of 53 respondents 22 no of people think its important
to spend on on travel and leisure purposes.
 74

(e) For personal life after retirement.

Importance Frequency
Important 29
Not Important 9
Less Important 5
Very Highly Important 1
Total 53

35

30

25

20
FREQUENCY DIDTRIBUTION
Column1
15
Column2

10

0
IMPORTANT NOT LESS VERY HIGHLY
IMPORTANT IMPORTANT IMPORTANT

INTERPRETATION:

The above table and graph shows that out of 53 respondents 29 respondents think of
saving moneey for life and retirement.
 75

4) Importance of awareness about various investment avenues.

Type Frequency Percentage%

Strongly Disagree 10 19.2%
Disagree 2 3.8%
Neutral 10 19.2%
Strongly Agree 12 23.1%
Agree 18 34.6%
Total 53 100%

FREQUENCY DISTRIBUTION
STREONGLY DISAGREE DISAGREE NEUTRAL STRONGLY AGREE

19%
35%
4%

19%

23%

INTERPRETATION:

The above table and graph shows that 19.2% people strongly diagree with th
statement while 34.6% agree with it. And 19.2% people being neutral.
 76

5) LEVEL OF AWARENESS ABOUT VARIOUS INVESTMENT OPTIONS:

(a) AWARENESS ABOUT BANK DEPPOSITS:

AWARENESS LEVEL FREQUENCY

Not Aware 5
Aware 36
Less Aware 0
Highly Aware 12
Total 53

40

35

30

25 FREQUENCY
DISTRIBUTION
20
Column1
15
Column2
10

0
NOT AWARE LESS HIGHLY
AWARE AWARE AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 36 respondents are
aware of bank deposits while 5 respondnet is unaware of it.
 77

(b) AWARENESS ABOUT PF/PPF:

AWRENESS LEVEL FREQUENCY

Not Aware 8
Aware 37
Less Aware 4
Very Highly Aware 4
Total 53

40
35
30
25 FREQUENCY
20 DISTRIBUTION
Column1
15
10
Column2
5
0
NOT AWARE LESS VERY
AWARE AWARE HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 37 respondents are
aware of PF\PPF while 8 respondnet is unaware of it.
 78

(c) AWARENESS ABOUT INSURANCE POLICY:

AWARENESS LEVEL FREQUENCY

Not Aware 1
Aware 39
Less Aware 3
Very Highly Aware 10
Total 53

45

40

35

30

25
FREQUENCY
20 DISTRIBUTION
Column1
15
Column2
10

0
NOT AWARE LESS VERY
AWARE AWARE HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 39 respondents are
aware of insurance policy while 1 respondnet is unaware of it.
 79

d) AWARENESS ABOUT POST OFFICE DEPOSITS:

AWARENESS LEVEL FREQUENCY

Not Aware 12
Aware 25
Less Aware 13
Very Highly Aware 3
Total 53

30

25

20
FREQUENCY
DISTRIBBUTION
15
Column1

10 Series 3

0
NOT AWARE AWARE LESS AWARE VERY HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 25 respondents are
aware of govt. bonds while 12 respondnets are unaware of it.
 80

e) AWARENESS ABOUT GOVERNMENT BONDS:

AWARENESS LEVEL FREQUENCY

Not Aware 8
Aware 32
Less Aware 9
Very Highly Aware 4
Total 53

35

30

25

FREQURNCY
20 DISTRIBUTION
Column1
15

Column2
10

0
NOT AWARE AWARE LESS AWARE VERY HIGHLY
AWARE

INTERPRTATION:

The above table and graph shows us that out of 53 respondents 32 respondents are
aware of govt. bonds while 8 respondnets are unaware of it.
 81

f) AWARENESS ABOUT GOLD AND SILVER:

AWARENESS LEVEL FREQUENCY

Not Aware 5
Aware 31
Less Aware 6
Very Highly Aware 11
Total 53

35

30

25

FREQUENCY
20 DISTRIBUTION
Series 2
15

Column2
10

0
NOT AWARE AWARE LESS AWARE VERY HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 31 respondents are
aware of gold and silver while 5 respondnets are unaware of it.
 82

g) AWARENESS ABOUT REAL ESTATE:

AWARENESS LEVEL FREQUENCY

Not Aware 8
Aware 31
Less Aware 6
Very Highly Aware 8
Total 53

35

30

25

20 FREQUENCY
DISTRIBUTION
15 Column1

10 Series 3

0
NOT AWARE AWARE LESS AWARE VERY
HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 41 respondents are
aware of mutual funds while 3 respondnets are unaware of it.
 83

h) AWARENESS ABOUT MUTUAL FUNDS:

AWARENESS LEVEL FREQUENCY

Not Aware 3
Aware 41
Less Aware 5
Very Highly Aware 4
Total 53

45

40

35

30
FREQUENCY
25
DISTRIBUTION
20 Column1
15
Series 3
10

0
NOT AWARE LESS VERY
AWARE AWARE HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 41 respondents are
aware of mutual funds while 3 respondnets are unaware of it.
 84

i) AWARENESS ABOUT EQUITY SHARES:

AWARENESS LEVEL FREQUENCY

Not Aware 7
Aware 35
Less Aware 5
Very Highly Aware 6
Total 53

40

35

30

25
FREQUENCY
20 DISTRIBUTION
Column2
15

10 Column3

0
NOT AWARE LESS VERY
AWARE AWARE HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 35 respondents are
aware of equity shares while 7 respondnets are unaware of it.
 85

j) AWARENESS ABOUT COMPANY DEBENTURES:

AWARENESS LEVEL FREQUENCY

Not Aware 11
Aware 25
Less Aware 14
Very Highly Aware 3
Total 53

30

25

20
FREQUENCY
15 DISTRIBUTION
Column1
10
Column2
5

0
NOT AWARE LESS VERY
AWARE AWARE HIGHLY
AWARE

INTERPRETATION:

The above table and graph shows us that out of 53 respondents 25 are aware of
debentures while 14 are less aware and 11 respondents are not aware.
 86

6) SIGNIFICANCE OF RISK IN SELECTION OF VARIOUS INVESMENT

OPTIONS:

IMPORATANCE OF FREQUENCY PERCENTAGE%

SAVINS
Strongly Disagree 0 0
Disagree 4 7.5%
Neutral 11 20.80%
Strongly Agree 16 30.2%
Agree 22 41.5%
Total 53 100%

FREQUENCY DISTRIBUTION
AGREE DISAGREE STRONGLY AGREE NEUTRAL

3%

37%
51%

9%

INTERPRETATION:

From above table and graph we can assume or know that most of the people believe
that investing brings risk with it as well.About 7.9% disagreed wth this.
 87

7) DO YOU UNDERTAKE FINANCIAL PLANNING BEFORE

INVESTING:

TYPES FREQUENCY PERECNTAGE%

YES 48 90.6%
NO 6 11.3%
TOTAL 53 100

FREQUENCY DISTRIBUTION
YES NO

6%

94%

INTERPRETATION:

The above table shows that 90.6% people want to take finncial planning
before investing anywhere.
 88

8) FREQUENCY OF INVESTMENT AND SAVINGS:

INVESMENTS AND FREQUENCY PERENTAGE%

SAVING MADE
Daily 5 9.8%
Monthly 32 62.7%
Quaterly 7 13.7%
Half-Yearly 3 5.9%
Annualy 4 7.8%
Never 6 11.8%
Total 53 100%

daily quaterly half-yearly annually never monthly

INTERPRETATION:

The above data shows that around 62.7% of the people invets and save
monthly and 13.8%quaterly. Followng that 7.8% save annually and 9.8%
daily.
 89

8) CONSIDERING FOLLOWING FACTORS WHILE

INVESTING:

FACTORS FREQUENCY PERCENTAGE%

Safety on Invesment 53
Return on Investment 53
Liquidiy 53
Others 0
Total 53 100%

35

30

25

20 VERY HIGH IMPORTANCE

HIGH IMPORTANCE
15
LESS IMPORTANCE
10 VERY LESS IMPORTANCE

0
SAFETY ON RETURN ON LIQUIDITY OTHERS
INVESTMENT INVESTMENT

INTERPREATATION:

The following data reveals that safety and incestment on investment is

equally important to them. These are highly considered while and after
investing.
 90

9) ADVICE ON INVESTING FROM FAMILY MEMBERS:

TYPES FREQUENCY PERCENTAGE%

Yes 35 66%
No 1 1.9%
Sometimes 17 32.1%
Total 53 100

frequency distribution
yes no sometimes

32%

66%
2%

INTERPRETATION:

THE ABOVE TABLE AND GRAPH SHOW THAT AROUND 66%

ASK FOR ADVICE FROM THEIR FAMILY MEMBERS.
 91

10) REVIEWING AND KEEPING KNOWLEDGE OF YOUR

INVESTMENT AND SAVINGS:

OPTIONS FREQUENCY PERCENTGE%

Yes 30 56.6%
No 0 0
Once in a while 14 26.4%
Sometimes 9 17%
Total 53 100%

FREQUENCY DISTRIBUTION
YES NO OCE IN A WHIE SOMETIMES

17%

26% 57%

0%

INTERPRETATION:

The above table and graph show that most no. of people want to kep
knowledge about their investments and savings. Around 56.6% answered
as yes and around 26.4% do it once in a while.
 92

CHAPTER 06

CONCLUSIONS
Majority of the respondents were between 18 years and 40 years of age. Hence, it may
be concluded that the findings represent the investment pattern of the educated
working women from the younger age group. This will help in knowing the
perception, attitude and behaviour of women in the current scenario which can go a
long way in devising measures to mobilize their savings into productive activities for
the economic development of the country.

Majority of the respondents were employed in the private sector. Due to uncertainty
of employment and earnings in the private sector, the respondents may not be willing
to invest in high-risk investment avenues. This could be one of the reasons for the low
risk taking capacity of the respondents.

Since all the respondents had attained at least a graduate degree, it can be said that
they had the ability and rationality to take informed decisions regarding the
investment of their savings. However, family members, especially male members,
played an important role in the investment decision-making process of women. The
main reason could be the dominating role played by male members of the family.
Other reasons may be the knowledge possessed by them and the faith and confidence
in their abilities. Lack of sufficient time for investment decision-making is also one of
the reasons for the influence of male family members on the investment decisions of
women.

On an average, majority of the respondents could save in the range of 0% to 20% of

their income which is around 57.7% of the respondents. Around 13.5% of the
respondents could save more than 50% of their income. If the proportion of savings
increases, they may be willing to invest in high-risk securities like equity shares and
mutual funds. The respondents invested in various investment instruments for meeting
various short-term, medium-term and long-term goals. The main reasons for saving
and investing in the order of priority were having a good personal life after retirement,
for meeting health and medical-related expenses, for children’s education and
marriage, for buying house property and for travel, leisure and entertainment.
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A high percentage of the respondents had good level of awareness regarding

investment avenues such as Bank Deposits, Gold and silver, Post-office Deposits,
PF/PPF, Insurance policies, Government bonds, real-estate as compared to that of
Mutual funds, Company Deposits, Debentures and Equity shares of companies.

Respondents preferred to invest in traditional avenues like Bank deposits, PF/PPF,

Post office deposits, Insurance policies, metals like gold and silver and real-estate.
Most of these avenues are low-risk and low return investment avenues. Even those
respondents who invested in high risk avenues like equity shares, mutual funds,
company deposits and debentures invested less than 25% of their savings. Therefore,
it may be concluded that people prefer safety of investment to high returns while
taking investment decisions.

Majority of the investors invested on a monthly basis. Therefore, investment schemes

like recurring deposits and SIP schemes will attract many investors. Based on the
study, it may be said that demographic factors like age, income and marital status
influence the investment pattern of women. Women also had a low risk-taking
aptitude. Hence, while designing investment products, especially for women, these
factors should be kept in mind.
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CHAPTER 07

SUGGESTIONS

 Suggestions to Educated Working Women

1. Women should undertake proper financial planning. They should set up their
short-term, medium-term and long-term financial goals. Keeping these goals
in mind and taking into consideration their income, expenditure and savings
(current and future), they should make investment decisions to attain these
goals.
2. Women should collect information about various investment avenues through
newspapers, magazines, websites, financial advisors, friends, relatives and
other sources. After collecting information, they should analyze these
investments by studying the average returns on them in the past few years. The
merits and demerits of each investment avenue should be understood properly.
3. Women should gather more knowledge and information about various avenues
by watching TV channels like CNBC, Business news channels and others.
This will give them the confidence to take investment decisions on their own
4. Every individual (woman) should design a portfolio which will suit her
requirements and her risk-taking aptitude. The maxim ‘Do not put all the eggs
in the same basket’ should be kept in mind while designing an investment
portfolio. The portfolio should consist of an appropriate mix of different
investment instruments so that all the financial goals can be attained in the
best possible manner.
5. Family members of women may give advice and support to them as and when
needed by these educated working women. However, care should be taken that
unnecessary interference in their financial matters should be avoided. Women
should be given freedom in financial matters which will help them to attain
financial independence. This will help women to gain confidence and self-
respect which will motivate them to face challenges in their personal and
professional lives.
6. Women may take the help of trusted financial advisors to plan and implement
their investment portfolio. However, care should be taken that they do not
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follow the advice blindly. Efforts should be made to understand the portfolio
completely before making investment in different investment products.
7. It is necessary to review and revise the portfolio at regular intervals. Portfolio
revision involves changing the existing mix of securities. This can be done
either by changing the securities currently included in the portfolio or by
changing the proportion of funds invested in various securities in the current
portfolio. The main objective of portfolio revision is to maximize the returns
for a given level of risk or minimize the risk for a given level of return. The
ultimate objective of portfolio revision is maximization of returns and
minimization of risk.
8. The merits and demerits of each investment instrument should be propagated
to the prospective investors. This will create trust and confidence in the minds
of the investors.
9. In urban cities like Mumbai where big housing societies exist, such societies
can invite financial experts to deliver lectures on financial prudence and
investment to their members. In such societies, members may share their
experiences with each other and try to help people who have been misguided
or cheated by unscrupulous people/organizations.
10. Financial organizations should create awareness programmes to educate
women about the different investment products available. They should spread
awareness through different means of communication such as newspaper,
magazines, television, radio and internet.
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BIBLIOGRAPHY
 Ansari Lubna and Sana Moid (2013), “Factors Affecting Investment
Behaviour Among Young Professionals”, International Journal of Technical
Research and Applications.

 Ansari Yasmeen and S.C. Dhamija (2011), “An Empirical Assessment of

Investment Patterns of Investors”, Asia Pacific Journal of Research in
Business Management.

 Azadeh Barati, Rooh Ollah Arab and Seyed Saadat Masoumi (2015),
“Challenges and Problems Faced By Women Workers in India”.

 Abdul Raheem (2011), “Women Empowerment through Self-Help Groups

(SHGs)”, New Century Publications.

 Brahmabhatt, P.S Raghu Kumari& Dr. Shamira Malekar (2012), "A Study Of
Investor Behavior On Investment Avenues in Mumbai Fenil.

 Chaturvedi Meenakshi and Shruti Khare (2012), “Study of saving pattern and
investment preferences of individual household in India”.

 C Sathiyamoorthy et al (2015), “Investment Pattern and Awareness of Salaried

class Investors in Tiruvannamalai District of Tamil Nadu”.

 Dutta Nabanita and Kaushik Bhakta (2017) “Women Empowerment:

Dimensions, Needs and Hurdles in India”, International Journal of Commerce
and Mangement Research.

 D.S. Khatri (2009), “Women Empowerment Through Entrepreneurship

Development”, ALP Books.

 Evi Steelyana (2012), “Working women and investment behavior”,

papers.ssrn.com.

 WEBLIOGRAPHY
 www.wikipedia.com
 www.shodhganga.in
 www.researchgate.net
 www.academies.org
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ANNEXURE
A RESEARCH PROJECT ON:

“ A STUDY ON INVESTMENT AND SAVING PATTERN OF EMPLOYED

WOMEN WITH REFRENCE TO MUMBAI CITY”

Respected Participant,

My name is MISS.ANSHULA SURESH MOTIRAM and I am a B.A.F. (Semester

VI) student at VALIA C.L.COLLEGE OF COMMERCE & VALIA COLLEGE
OF ARTS. For my research project, I am examining the investment and savingg
behaviour of women . I am inviting you to participate in this research study by
completing the attached survey.

The following questionnaire will require approximately 5-10 minutes to complete. If

you choose to participate in this project, please answer all questions as honestly as
possible and return the completed questionnaire promptly.

Thank you for taking the time to assist me in my educational endeavour. The data
collected will provide useful information regarding “INVESTMENT PATTERN
FOR WOMEN”.

Sincerely,

Research Scholar:

Anshula Motiram

T.Y.B.A.F

Valia C.L.College of Commerce &Valia L.C. College of Arts

Mail id: motiramanshula5@gmail.com.

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QUESTIONNAIRE
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