Equity investment base in India is still largely underpenetrated and one expects most of these investments to come from urban pockets of the country.

However, challenging this view, a study by equity investment advisory firm Research and Ranking found that nearly 52% investors in equities are from non-metro cities. This indicates a growing interest in financial markets beyond the major urban centers.

Over 2,000 respondents participated in the study aimed at understanding Indian investor patterns nationwide. It claims to provide insights into demographics, investment style, and portfolio sizes.

The study reveals that Indian investors tend to show a strong inclination towards investing directly in equities once they reach the age of 35.

Notably, around 50% of these investors are yet to experience a complete business cycle, suggesting they may have limited exposure to market fluctuations.

However, a significant majority of around 60% Indian investors adopt a long-term investing approach, emphasizing their commitment to holding investments over extended periods.

Further, the study found that a whopping 57% of investors yearn to seize the moment and make a bold statement by investing a lump sum in equity, while 43% prefer to take the measured and disciplined route of investing through SIP, steadily building their portfolio over time.

“This survey reinforces our belief that there is immense potential in the market, as it demonstrates that individuals across India are eager to upgrade their lifestyle and improve their quality of life, regardless of their location,” said Manish Goel, Founder and Director, Research & Ranking.

On the performance front, around 30% of investors have underperformed the index, while a considerable 27% remain uncertain about their compound annual growth rate (CAGR).

As investors age, their investment journey becomes more fulfilling, particularly after 35. Older Indian investors are keen on upgrading their lifestyle through their investment endeavors.

Furthermore, the study found that with increasing age, investors tend to become more comfortable with a lump sum investment approach, reflecting higher confidence and risk tolerance.

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