A Study on the Factors Affecting Investor Decision Making in Selecting Mutual Fund Schemes- With Special Reference to Aditya Birla Sun Life

Neha Chauhan; Lalit Jadav; Jignesh Vidani

doi:10.59890/ijels.v3i8.154

Authors

Neha Chauhan LJ University
Lalit Jadav LJ University
Jignesh Vidani LJ University

DOI:

https://doi.org/10.59890/ijels.v3i8.154

Keywords:

Investor Decision-Making, Mutual Fund Selection, Investment Preferences, Risk Tolerance

Abstract

This study explores the key factors influencing investor decision-making in the selection of mutual fund schemes, with a particular focus on Aditya Birla Sun Life Asset Management Company (ABSL AMC). As mutual funds continue to gain popularity among retail investors in India, understanding the behavioural, financial, and psychological drivers behind investment choices becomes increasingly important. A structured survey was conducted among investors across various age groups, income levels, and investment backgrounds to assess preferences related to fund performance, risk appetite, brand trust, expense ratio, and tax benefits. The findings reveal that while many investors prioritize historical returns and fund manager reputation, others are guided by peer recommendations, perceived safety, and alignment with personal financial goals. ABSL AMC’s brand strength and diversified scheme offerings emerged as significant influencers in investor selection. The study also highlights gaps in investor awareness regarding technical metrics such as Sharpe ratio and portfolio diversification. Based on the results, it is recommended that AMCs enhance investor education and tailor marketing strategies to different investor segments. Future research may delve into regional investment patterns, long-term loyalty trends, and the impact of digital advisory platforms on mutual fund selection

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