RECURRING DEPOSIT AS AN INSTRUMENT OF SAVINGS: A STUDY

The Recurring Deposit (RD) is a type of term deposit, where a customer invests a fixed amount of money at a regular interval for a predetermined period. This encourages a saving habit and the mobilization supports the economy of our nation too. According to the study, predicting and moderating factors significantly improve saving behaviours. In this context, confirmatory factor analysis (CFA) been employed to employ two-phase structural equation modelling (SEM) to validate the proposed measurement model. In order to draw logical conclusions, the structural model validates the proposed relationship between exogenous and endogenous variables in the following stage. Furthermore, it is seen that interaction factors and predictors have a positive effect. The study concluded with an important suggestion for the investment manager and other intermediaries: integrate the financial engineering process while suitably giving investors' requirements first priority. Keywords: Recurring Deposit, financial consultant, Confirmatory Factor Analysis [CFA], Structural Equation Modelling [SEM] and Exogenous and Endogenous variables