Financial Literacy and Investment Behaviour among Young Adults in Delhi NCR

Abstract

The modern financial economy renews the importance of financial literacy in determining individual financial decision-making, especially in young adults who are increasingly investing in financial markets. The current scholarly paper explores the correlation between financial literacy and investment behaviour among citizens between the ages of 18 to 35 in the Delhi NCR based on the secondary data gathered with respect to the well-established regulator reports, peer-reviewed journal articles, and academic surveys. The study provides an explanation of the extent of financial literacy, current trends of preference in the investment sector, and the resulting behavioural tendencies by synthesising existing literature. Empirical observation suggests the notion that, despite the increased exposure to the market due to the increase of fintech endpoints and the expansion of digital access, the level of conceptual financial literacy is still lacking among a significant portion of young investors. To this end, the study suggests educational and policy-based interventions to empower the financial capacity of young adults within the area.