Emotional Intelligence, Self-Efficacy, and Resilience as Predictors of Women’s Investment Behaviour: The Moderating Role of Financial Literacy

Abstract

Purpose: This research aims to understand the influence of emotional intelligence, self-efficacy, and resilience on the investment behaviour of women and also investigate the role of financial literacy in moderating the relationship between psychological variables and women's investment behaviour. 
Research Methodology: With the application of Social Cognitive Theory (Bandura, 1986) along with the Behavioural Finance Theory, a framework   has been designed to explain the investment behaviour of women. Primary data was collected from 262 women investors residing in the Delhi-NCR region of India by means of a structured questionnaire and was analyzed using PLS-SEM.
Findings: This study found positive influences of emotional intelligence, self-efficacy, resilience, and financial literacy on the investment behaviour of women. Financial literacy was found to moderate the effect of self-efficacy on behaviour, however, it had no significant moderation effects on the associations of emotional intelligence and resilience.
Limitations: This study only considers women investors from Delhi-NCR and adopts cross-sectional data. 
Research implications: It is essential that financial institutions and policymakers should conduct financial awareness programmes to facilitate investment decision-making. The current research highlights the role of financial, psychological knowledge, and resilience to encourage women to invest. Improving these psychological and financial competencies is important to ensure economic independence for women.
Originality: By incorporating several psychological constructs into one framework, namely EI, SE, and resilience and integrating these measures with financial literacy, this paper contributes to the existing literature on women’s investment decision-making.