A Study of Investment Preferences of Investors

ABSTRACT Financial Planning is very important for developing clear financial goals and chalking out the right investment portfolio to meet the financial needs and aspirations. Designing an effective investment portfolio require skills, knowledge and disciplined financial planning. This study explores association of demographic characteristics with the investment preferences of the individual investors. In this study, survey approach has been adopted using a structured questionnaire with sample size of 229 respondents. The study has been taken within the geographical area of Indore district in Madhya Pradesh State of Central India. The main findings of research are that fixed deposit is most preferred and capital market debt instruments are least preferred. Demographic variables have found to have significant association to investment preferences.