A Study on Factors Influencing Investment Behavior Among Young Investors at HDFC

Abstract

Investment behavior among young individuals has emerged as a critical area of financial research, particularly as millennials and Gen-Z begin to participate actively in capital markets. This study investigates the key factors influencing investment decisionmaking among young investors holding accounts with HDFC Securities and HDFC Bank, Hyderabad. Primary data was collected through a structured questionnaire administered to 100 respondents aged 18–35 years. Secondary data was sourced from HDFC annual reports, SEBI publications, and academic journals. The study examines demographic variables, risk tolerance, financial literacy, awareness of investment avenues, and behavioral biases as determinants of investment behavior. Findings reveal that financial literacy, peer influence, digital platform accessibility, and risk perception are the most significant factors. Young investors predominantly prefer equity mutual funds, followed by fixed deposits and stock markets. Suggestions focus on improving financial education, expanding digital advisory tools, and customizing investment products for youth segments.