Currently trend has been Investigation into the Determinants Affecting Intention towards Investment Decision in Stock Markets

Investigation into the Determinants Affecting Intention towards Investment Decision

Abstract

Abstract

The changes in decisions through the behavior of individuals towards investment in stock market are not only affected by rational factors but in the existence of various psychological factors that has impact on the behavior of the individuals towards investment in stock market. Naturally psychological factors may exist but the people may do not have awareness about these factors, but these factors have a lot of impact on the behavior of individuals towards investments in the stock market. Therefore, the reason for conducting the current study is to employ the decomposed version of the theory of planned behavior for the investigation of the determinants affecting individual’s intention towards investment in Pakistan Share Market. The study has been used Structural Equation Model (SEM) and for that the study took registered corporate members from Sarhad and Islamabad Chamber of Commerce as a population. The sample was selected by using the proportionate stratified random sampling technique and through questionnaire the data was collected. Study used Smart PLS3 software and results revealed a positive significant impact of attitude, subjective norms and perceived behavioral control on intention towards investment behavior in Pakistan stock market. The study has decomposed the attitude, subjective norms and perceived behavioral control in various components for clearly understanding the behavior of an individual. The study found significant positive relationship of these components with attitude, subjective norms and perceived behavioral control. Findings from the study will play a great role in academic and practical contributions.