FACTORS INFLUENCING THE INVESTMENT DECISION OF YOUTH IN PAKISTAN STOCK EXCHANGE

Abstract

Purpose of the study -Now a days, youth has been seen very much interested in investing in Pakistan stock exchange. They are participating by purchasing and selling of different stocks available at stock market and for that purpose it is very important for the individual to know and identify different economic and other factors that affect their purchasing decision. It has been observed that the individual investor especially youth of the country gets confuse in making right decision because of having not enough relevant information, limited knowledge and experience and unlimited mathematical capabilities. This research purpose is to study the behavior of Pakistan youth investors undertaken in Pakistan, Pakistan. Research Methodology and sampling - Information has been collected from the individual investors who use to sell and buy shares on the Pakistan Stock Exchange. Brokerage house in Pakistan are almost 200 from which around 142 are active while rest are inactive Brokerage house were selected and data was gathered such as email addresses and phone numbers of investor ages around 24 to 35 years, they are been contacted and 200 questionnaire were circulated. Data is analyzed by regression analysis for which SPSS software has been used. Findings of the study - The factors like stock performance, accounting information, share prices; Affordability (individual income), word of mouth, and Risk tolerance highly influence the decisions of youth. Practical Implications- This research will specifically cover all major factors that influence the youth investment decisions which are very helpful for the organizations, manager to make the policies and programmers in order to attract the individuals.