Article: Financial literacy and investment awareness of working individuals: moderating role of risk tolerance Journal: International Journal of Management Practice (IJMP) 2024 Vol.17 No.5 pp.600 - 619 Abstract: Money is evolving from a physical system to a digital transaction system. Making money is evolving as well. Investments in different avenues are proving to be successful in achieving financial stability. However, investing sensibly is more important than investing anywhere. Financial literacy is required to make a risk-free investment in products of new age. People who are financially literate can use a variety of financial goods and services effectively by evaluating the risks as well as rewards associated with them and then picking the items that are best well-matched to them. The current study aims to have a deeper understanding of the link between financial literacy and working-class investment awareness and the moderating role of risk tolerance in their relationships. Smart PLS is used to analyse a sample of 239 working adults from diverse sectors. The findings suggest that increased financial knowledge leads to better investing awareness. This study examines variables such as financial attitude, financial knowledge and financial behaviour, investing awareness and risk tolerance. Inderscience Publishers - linking academia, business and industry through research

Title: Financial literacy and investment awareness of working individuals: moderating role of risk tolerance

Authors: Anjali Mandal; Ashish Saxena; Prashant Gupta; Vinod Kumar Bagar

Addresses: School of Business, Sharda University, Greater Noida, UP, 201310, India ' School of Business, Sharda University, Greater Noida, UP, 201310, India ' Indian Institute of Management Nagpur, Plot No. 1, Sector 20, MIHAN (Non-SEZ), Maharashtra, India ' Dewan Institute of Management, NH-58, By-Pass Road, Partapur, Meerut-250103, Uttar Pradesh, India

Abstract: Money is evolving from a physical system to a digital transaction system. Making money is evolving as well. Investments in different avenues are proving to be successful in achieving financial stability. However, investing sensibly is more important than investing anywhere. Financial literacy is required to make a risk-free investment in products of new age. People who are financially literate can use a variety of financial goods and services effectively by evaluating the risks as well as rewards associated with them and then picking the items that are best well-matched to them. The current study aims to have a deeper understanding of the link between financial literacy and working-class investment awareness and the moderating role of risk tolerance in their relationships. Smart PLS is used to analyse a sample of 239 working adults from diverse sectors. The findings suggest that increased financial knowledge leads to better investing awareness. This study examines variables such as financial attitude, financial knowledge and financial behaviour, investing awareness and risk tolerance.

Keywords: financial literacy; Smart PLS; investment awareness; financial behaviour; financial knowledge; risk tolerance; financial attitude.

DOI: 10.1504/IJMP.2024.140877

International Journal of Management Practice, 2024 Vol.17 No.5, pp.600 - 619

Accepted: 17 Sep 2023
Published online: 03 Sep 2024 *

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Title: Financial literacy and investment awareness of working individuals: moderating role of risk tolerance

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