Financial Management Skills and Investment Behavior: Evidence from Women Investors

Abstract

This study examines the relationship between financial management skills and investment decisions among working women in higher educational institutions in North India. Using data from 600 respondents across Noida, Greater Noida, Ghaziabad, and Moradabad, this research employs regression analysis to test whether financial management skills significantly influence investment behavior. The findings reveal a strong positive relationship, with financial management skills explaining 72.3% of the variance in investment decisions (R² = 0.723, p < 0.001). The results demonstrate that practical skills such as budgeting, saving, and long-term financial planning are critical determinants of confident and informed investment choices. This paper contributes to the literature on gender and finance by highlighting the primacy of financial management competencies over theoretical knowledge alone. The findings suggest that financial literacy programs should emphasize practical skill development to empower women in making sound investment decisions.