Investment Attitudes and Risk Perception among Women Homemakers: An Empirical Study in Dakshina Kannada District, India

Abstract

This study looks at how behavioural biases, socio-economic factors, and risk perception affect investment attitudes and intentions of women homemakers in Dakshina Kannada District, India. Methodology: The study used a structured questionnaire with 270 women homemakers (30 from each of the nine taluks) selected by stratified random sampling. The questions covered demographics, investment attitude, risk perception, biases, intention, and behaviour on a five-point scale. Data were analysed with Smart PLS 4.0, using Partial Least Squares Structural Equation Modeling (PLS-SEM) to test reliability, validity, and hypothesised relationships. Age and income were the control variables. Results: This study found that common biases such as loss aversion and overconfidence make women view investments more positively and raise their sense of risk. A positive investment attitude leads to a stronger intention to invest, which usually results in actual investment. Although higher risk perception tended to lower investment intention, this effect was not sufficiently strong to be statistically significant. Furthermore, women with a better education and higher income showed greater confidence and willingness to invest. Conclusion: Customised financial literacy programs that address specific biases and improve risk assessments can empower homemakers. Community groups and tailored products from financial institutions can further support women in transforming their investment intentions into real actions