Vol: 2, Issue: 4 2012

Page: 10-15

Psychology of Investors Based on Value and Life Style Survey

Monica Sehgal

The Investors’ sentiment can be defined as investors’ attitude and opinion towards investing in the Stocks. The aim of this study is to analyse the individual investors’ sentiment and analyses the influence of Market Specific Factors on investors’ sentiment. The Investor’s attitude towards investing is influenced by rumours, intuition, herd behaviour among investors and media coverage of the stock. A simple random sample of 375 Investors in Haryana were chosen for the study. The sample Investors were administered a structured Schedule containing pre-validated scales to measure the Investor Sentiment. Once the constructs were found to be both reliable and valid, the impact of Risk and Cost factors, performance factors and confidence level of Institutional Investors, Best Game in Town factors were tested using bootstrapping method. The Market Specific Factors had a significant impact on the Investors Sentiment.