Author: Jayant Kumar
DOI Link: https://doi.org/10.70798/PP/020400038
Abstract: The present study examines the investment preferences, risk-return perceptions, andawareness levels of retail investors in Ranchi, Jharkhand, with specific reference to mutual funds and traditional investment avenues such as bank fixed deposits, post office schemes, gold, and life insurance. Using a structured questionnaire administered to 200 retail investors through purposive and convenience sampling, the study employs descriptive statistics and inferential analysis. Findings reveal that despite the growing national momentum of mutual funds—India’s AUM touching ₹72.20 trillion in May 2025—traditional instruments continue to dominate the preference landscape of retail investors in Ranchi. Bank fixed deposits (72%) remain the most preferred instrument, while mutual funds are chosen by 43% of respondents. Risk aversion is pronounced, with 75% of respondents perceiving mutual funds as riskier than fixed deposits. Awareness of NAV, ELSS, and SIP mechanisms remains inadequate. The study underscores the need for targeted financial literacy campaigns, simplified onboarding, and region-specific investor education programmes to bridge the awareness-participation gap in Tier 2 cities of Jharkhand.
Keywords: Mutual Funds, Retail Investors, Traditional Investments, Financial Literacy, Ranchi, Investment Preference, Risk Perception, SIP, Bank Deposits, Post Office Schemes.
Page No: 290-299