A Study in Impact of Financial Literacy on Personal Investment Decisions with Reference to Raipur City in Chhattisgarh

Abstract This research investigates the role of financial literacy in shaping personal investment decisions among residents of Raipur city in Chhattisgarh. With the rapid expansion of financial products and services in urban and semi-urban India, the ability of individuals to make informed investment choices is becoming increasingly important. Despite the growing accessibility of financial markets, many individuals in Raipur lack adequate financial knowledge, which limits their ability to maximize returns and manage risks effectively. Through a structured survey of 200 respondents representing diverse age groups, educational backgrounds, and occupations, this study assesses the current level of financial literacy and its influence on investment behavior. The findings reveal a positive and significant relationship between financial literacy and the adoption of diversified investment strategies. However, a large proportion of respondents still rely on traditional and conservative investment options such as fixed deposits and insurance. The study underscores the urgent need for comprehensive financial education programs tailored to the local context to enhance the financial decision-making capacity of Raipur’s residents. Keywords Financial literacy, Personal investment, Investment behavior, Financial education, Risk management, Raipur, Portfolio diversification, Semi-urban financial inclusion