DETERMINANTS OF INVESTMENT BEHAVIOR AFTER COVID-19: a STUDY ON PSX

Abstract

Purpose The puipose of this research is to analyse the impact of the investment decisions factors on the behaviour ofindividual investors ofPakistan stock exchange in the era of covid-19. Methodology / Sample: Deductive approach is applied and the nature of the study is the quantitative data having cross sectional design and causal study the questionnaire’s distributed among the individual investors of Pakistan stock exchange Karachi and as a result of 327 responses received from the respondents having from different demographics interms of qualification, age, occupation, salary etc. Findings of the Research: Several test analysis have been done like cronbach’s alpha test and regression analysis the overall result shows the significance of the model. The variables showing the significant impact on the investment decisions making approach except investment fear and investment perceived risk, it shows that the market information and the individual guidance has the influence on the investors decisions making behaviour while investing in the Pakistan stock exchange market and they have more reliance towards the investors guidance and market information. Limitations: The research ofthis study has the limitations. Apart from the satisfactory and generalized statistical results it could be suggested that the large sample size, more time limitations may have more accuracy and more realistic results. Recommendations: The recommendations for the study is to look into the industry situation prior to take any risky decisions as investors should be having sound knowledge about investing in the PSX because technical analysis and financial acumen is pre-requisite in order to have an idea about the risk and return specially in the era of covid19.furthermore, government should have taken and put into place the proper action plan promptly in order to prevent from physical interaction and covid19 cases that would have been the better results