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A Study on Determinants of Financial Risk Tolerance:A Review of the Evidence
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Financial risk tolerance is one of the key elements for financial service providers and investors. It is essential for both to understand the risk level. Therefore understanding, assessing and measuring financial risk and factors that affect financial risk tolerance of investors have been interest of research. This paper presents a review of empirical research on determinants of financial risk tolerance. The evidence suggests that there are different determinants affected at different country and at different demographics & other factors of investors. The researcher has studied five different countries review of literature namely Australia, India, Turkey, U.S.A., & U.K. The author has found that age, gender, marital status, income, number of dependents affect in same manner at different countries while others do different to the financial risk tolerance.
Keywords
Demographic Factors, Financial Risk Tolerance, Reviews.
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