A Study on the Impact of Financial Knowledge and Behavioural Patterns on Gen Z’s Investment Decisions

In today’s fast-evolving financial world, Generation Z—characterized by digital proficiency and early financial participation—plays a crucial role in shaping future investment trends. This study examines how financial knowledge and behavioural factors influence Gen Z’s investment decisions. Using a quantitative research design, primary data were collected from 100 respondents aged 18–27 through a structured online questionnaire. The findings reveal that 68% of respondents are active investors, with mutual funds and stocks being the most preferred investment options. While Gen Z shows strong interest in investing, only a small portion demonstrate high confidence in understanding financial products, highlighting gaps in financial literacy. Long-term wealth creation emerged as the main motivation for investing, while behavioural aspects such as peer influence, emotional impulses, and risk attitude also played significant roles. Overall, the study concludes that both financial knowledge and behavioural patterns collectively shape Gen Z’s investment behaviour. It emphasizes the need to enhance financial education and promote responsible investing among young individuals to foster informed decision-making and long-term financial stability.