Factors Affecting Investment Portfolio of Individual Investors

Abstract

Decisions made by individual investors when it comes to investing in financial instruments is often seemed as random choices because these decisions are affected by many factors. The research is done to identify various such factors that influence the investment decision of an individual investor. In this research, Descriptive research design is used. Judgemental sampling is used to collect data from 16 investors. Percentage factor analysis is performed to analyse the data. The study found that risk, economic conditions, return on investment, past performance of the company, companies balance sheet, Image of the company, volatility of the stock and government policies are the main factors that influence the investment decisions of individual investors.