📄 Abstract
This study explores the emerging trends in the mutual fund industry and investigates the factors influencing investment behaviour in rural areas surrounding Bangalore. The research examines the role of income levels, financial trust, education, and digital access in shaping mutual fund investment decisions. A quantitative approach was employed, utilizing a multiple linear regression model to analyze a dataset of 200 rural investors. The study evaluates key socio-economic and technological factors, including income, education, and digital access, and trust in financial institutions, to determine their impact on investment behaviour. The findings indicate that income level (ß = 0.6377, p < 0.001) and trust in financial institutions (ß = 0.2013, p < 0.001) are the most significant predictors of mutual fund investments. In contrast, education level and digital access were found to be statistically insignificant, suggesting that financial literacy and fintech adoption alone do not directly influence investment decisions in rural areas. The results highlight the importance of financial trust and economic capacity in determining investment participation. The study emphasizes the need for inclusive investment schemes targeting lower-income groups, trust-building initiatives by financial institutions, and more effective financial literacy programs tailored to rural investors. Additionally, fintech solutions should be customized to address the specific needs and concerns of rural populations. This research provides new insights into the mutual fund investment behaviour of rural investors, challenging the conventional belief that digital access and education directly drive investment decisions, and contributing to the discourse on financial inclusion and investment accessibility in emerging markets.
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📚 How to Cite:
Dr. Ranjith Kumar S, Mr. Karthik J.P , EMERGING TRENDS IN THE MUTUAL FUNDS INDUSTRY AND INVESTOR PERCEPTIONS TOWARDS BANGALORE RURAL AREAS , Volume 12 , Issue 3, march 2025, EPRA International Journal of Environmental Economics, Commerce and Educational Management(ECEM) , DOI: https://doi.org/10.36713/epra20621