A Study on Investors Preferences Towards Various Investment Avenues in Capital Market with Special Reference to Derivatives.
A study on Investors Preferences towards various investment avenues in Capital Market with special reference to Derivatives. by Dr. K. RAVICHANDRAN, READER,
Bharathidasan Institute of Management, (School of Excellence of Bharathidasan University), Tiruchirapalli.
Introduction:
In India, generally all capital market investment avenues are perceived to be risky by the investors. But the younger generation investors are willing to invest in capital market instruments and that too very highly in Derivatives segment. Even though the knowledge to the investors in the Derivative segment is not adequate, they tend to take decisions with the help of the brokers or through their friends and were trying to invest in this market. This study was undertaken to find out the awareness level of various capital market instruments and also to find out their risk preference in various segments.
Need for the study:
To educate investors who are risk averse for trade in derivatives Awareness about the various uses of derivatives can help investors to reduce the risk and minimize the losses
REVIEW OF LITERATURE
“Investment property portfolio management and financial derivatives” by Patrick McAllister, John R. Mansfield. His study on Derivatives has been an expanding and controversial feature of the financial markets since the late 1980s. They are used by a wide range of manufacturers and investors to manage risk. This paper analyses the role and potential of financial derivatives investment property portfolio management. The limitations and problems of direct investment in commercial property are briefly discussed and the main principles and types of derivatives are analysed and explained. The potential of financial derivatives to mitigate many of the problems associated with direct property investment is examined.
“Derivatives, risk and regulation: chaos or confidence?” by R. Dixon, R.K. Bhandari said that there has been an extraordinary increase in the use of financial
Bharathidasan Institute of Management, (School of Excellence of Bharathidasan University), Tiruchirapalli.
Introduction:
In India, generally all capital market investment avenues are perceived to be risky by the investors. But the younger generation investors are willing to invest in capital market instruments and that too very highly in Derivatives segment. Even though the knowledge to the investors in the Derivative segment is not adequate, they tend to take decisions with the help of the brokers or through their friends and were trying to invest in this market. This study was undertaken to find out the awareness level of various capital market instruments and also to find out their risk preference in various segments.
Need for the study:
To educate investors who are risk averse for trade in derivatives Awareness about the various uses of derivatives can help investors to reduce the risk and minimize the losses
REVIEW OF LITERATURE
“Investment property portfolio management and financial derivatives” by Patrick McAllister, John R. Mansfield. His study on Derivatives has been an expanding and controversial feature of the financial markets since the late 1980s. They are used by a wide range of manufacturers and investors to manage risk. This paper analyses the role and potential of financial derivatives investment property portfolio management. The limitations and problems of direct investment in commercial property are briefly discussed and the main principles and types of derivatives are analysed and explained. The potential of financial derivatives to mitigate many of the problems associated with direct property investment is examined.
“Derivatives, risk and regulation: chaos or confidence?” by R. Dixon, R.K. Bhandari said that there has been an extraordinary increase in the use of financial