Public and private sector response to mutual funds in Pakistan using binary logistic regression
Abstract
To study the influence of risk perception, socio-economic environments, return perception, venality level, a revolution in investment scheme and awareness about investor behavior-based mutual funds. The result of this primary survey from Lahore, Karachi, Islamabad based on 460 questionnaire responses with snowball sampling. From all over the Pakistan individual investors were included in our population. Results from the study reveal that investors could behave confidently with innovative investment schemes, awareness, criteria of preference for an investor. These solid reasons could enhance the investor base mutual funds. While some factors having adverse effects on the behavior of investors such as venality level, perception of returns and precarious institutional factors. Whereas gender, level of education, saving level are social demographics which could affect the behavior of investors positively towards the mutual fund investment although age having a negative effect. This study inferring the management of mutual funds, regulators and investors. While these results highlight the inadequacy of awareness in a certain section of society. Therefore, for awareness of old age people, females considered more explicitly to collect an extensive period of investment of mutual funds. And to put a stronghold on the roots of venality level regulators to control the adverse effects of management.
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