Financial Literacy and Their Impact on Investment Decision Among Mba Students

ABSTRACT Financial literacy is an essential skill that significantly influences individuals’ financial behavior and investment decision-making, particularly among MBA students who are expected to manage financial resources effectively in their professional and personal lives. This study titled “Financial Literacy and Its Impact on Investment Decision among MBA Students” aims to assess the level of financial literacy among MBA students and examine its impact on their investment decisions. The study focuses on understanding students’ knowledge of financial concepts such as budgeting, savings, risk–return relationship, financial planning, and awareness of various investment instruments. Primary data were collected through a structured questionnaire administered to MBA students, while secondary data were gathered from journals, books, and online sources. The collected data were analyzed using suitable statistical tools to identify patterns and relationships between financial literacy and investment behavior. The findings indicate that MBA students with higher financial literacy levels tend to make more informed, rational, and diversified investment decisions, showing better risk assessment and long-term financial planning. In contrast, students with lower financial literacy exhibit limited awareness of investment options and higher risk aversion. The study highlights the importance of incorporating practical financial education into MBA curricula to enhance students’ financial knowledge and decision-making abilities, thereby contributing to improved personal financial management and overall economic well-being. KEYWORDS: Financial Literacy, Investment Decision, MBA Students, Financial Awareness, Risk and Return, Financial Planning, Investment Behavior.