PROJECT REPORT ON

Investment
Preferences of an
Individual

PRESENTED BY:
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“ In investing money, the amount of interest you want should
depend on whether you want to eat well or sleep well.”

J.Kenfield Morley
 01 03

INTRODUCTION RESEARCH
CONTENT METHODOLOGY

02 04
OBJECTIVE CONCLUSION
INTRODUCTION

An investment is the employment of funds with aim of achieving income and

growth in value . Investment is the allocation of monetary resources to assets
that are expected to yield some gain or positive return over a given period of
time. Investment aims at multiplication of money at higher or lower rates
depending upon whether it is long term or short term investment and whether it
is risky or risk-free investment. Investment activity involves creation of assets
or exchange assets with profit motive.

“An investment in knowledge pays the best interest”.

 OBJECTIVES OF THE STUDY

 The purpose of this research is to look into how investors behave when it
comes to investing.
 To look at the preferences of investors when it comes to their investments.
 To determine the level of risk tolerance of the individual investor.

 To develop a profile of sample individual investors in terms of demographics

and demographics based on their occupation
RESEARCH METHODOLOGY

The information is gathered from

primary resources. In this investigation,
probability sampling was used as the
sampling method. The respondent is
chosen from the accessible database
using simple random approaches. As a
result, that we have chosen 111
investors in the research area.
1.Percentage Analysis.
2.Chi Square Test.
 HYPOTHESIS OF THE STUDY 

 
H0: There is no significant relation between the age and preference towards different Investment
Objectives
H1: There is significant relation between the age and preference towards different Investment
Objectives
 ANALYSIS OF DATA

01 02
Theory Theory

03 04
Theory Theory
INTERPRETATION:
In the investment level Safe/low risk investment level is chosen majority of the people around 66.7%.
And Moderate risk investment stands second with 30.6%.
INTERPRETATION:
Here 32.7% people choose upstock as their platform for trading and
followed by Groww(30.6%), Zerodha(20.4%).
INTERPRETATION:
When asked about source of investment advice ,people chosen through Family and friends(29.7%)
and then by Internet(27.9%) and Certified market proffesionals(11.7%).
 CHI-SQUARE TEST
           
           

  Below 20 20-30 30-40 Above 40 Total

Income and Capital Preservattion 3 10 1 3 17
Long-term Growth 5 25 3 4 37
Short Term Growth 2 12 1 0 15
Growth and Income 6 30 2 4 42
Total 16 77 7 11 111
           
           
H0: There is NO significant relation between AGE and their Investment Objective          
H1: There is significantrelation between AGE and their Investment Objective          
           
Significance Level (Alpha) = 0.05          

Expected Values Below 20 20-30 30-40 Above 40  

  2.450 11.793 1.072 1.685  
  5.333 25.667 2.333 3.667  
  2.162 10.405 0.946 1.486  
  6.054 29.135 2.649 4.162  
           
           
Calculating Chi Square Value 0.1232 0.2725 0.0048 1.0269  
  0.0208 0.0173 0.1905 0.0303  
  0.0122 0.2444 0.0031 1.4865  
  0.0005 0.0257 0.1589 0.0063  
           
           
Chi-Square Value 3.624        
Degrees of Freedom 9.000        
Chi-Square Critical Values 3.325 16.919      
           

Since, the Chi-Square Value is in the Acceptance region, we Accept Null Hypothesis and We can conclude that there is NO Significant Relation
Between AGE and their Investment Objective.          
FINDINGS OF THE STUDY
1. It has been discovered that most of the respondents want the income to grow steadily at an
average rate.
2. Highest no. of people is interested in investing low-risk investment avenues.
3. Most of the people are unaware of the Emerging Investment Avenues: Virtual Real Estate,
Hedge Funds, Private Equity Investments, Art and Passion.
4. Most the respondents would like to wait for the Stock Price to increase if the Stock prices drop
after investing.
5. More than half of the respondents do not invest in Stock Market.
6. There is no Significant relation between AGE and Investment Objective i.e., Income and Capital
Preservation, Long-term Growth, Short-term Growth, Growth and Income.
The awareness of investment knowledge is not much high. People are helped by financial portals, financial news channels, financial
newspapers; various markets related T.V. shows, Expert talks, magazines. For Indian public money is everything. So they are more
sensitive about their money. They will think hundred times before investing in any market and will expect more than that. They feel
that they are having enough money, time, resources and opportunities with them for investing. Though they are having some
knowledge of financial market and economic condition of India yet they lack the edge above the others as this field is very
unpredictable and volatile hence, they must be backed up by a financial planner. Encouragement should be given to invest for the
long term. “Financial literacy campaign” should be organized time to time as many people are still unaware of stock market and in
India there is youth which is untapped. Also, Banks and financial services do the financial inclusion. People give more importance to
savings so as per their likings more opportunities should be provided. Many times, it may happen that people land up in mess or huge
losses due to not proper information or guidance, and if they want to know where they are going? A financial planner would do a
world of good to them.
THANK YOU