FINANCIAL LITERACY AND ITS IMPACT ON INVESTMENT BEHAVIOUR WITH REFERENCE TO MANIPUR

The study aims to examine the relationship between financial literacy, investor’s attitude and decision making. In the present study, sample units are taken for various individuals, including students, private sector employees, government employees, business owners, and self-employed individuals from Manipur. Convenience sampling was used as a sampling technique. Data were collected from 165 respondents using self-developed questionnaires consisting of nine statements each of Financial literacy and Investment decisions.   Independent sample t test and ANOVA were used to examine whether there were significant differences between respondents in terms of financial literacy and investment decision-making habits. A Pearson correlation analysis was used to investigate the link between financial literacy components and investment decision-making. The regression analysis seeks to establish a relationship between the independent variables, i.e Financial literacy which includes investment decision. Positive correlation was established between the financial literacy and investment decisions. Financial literacy and investment decision-making behaviors were reasonably constant across age groups, implying a common understanding and practice of financial management across the sampled population. The findings also show that investing decisions are positively and strongly linked with all financial literacy factors. The model's R value of 0.797 indicates a significant positive association between financial literacy components and investment decision-making. Finally, the research emphasizes the critical need for comprehensive and accessible financial education initiatives in Manipur.