Unit Trust Investment Essay

1.3 PROBLEM STATEMENT

Financial planning is important because its can save us from unexpected things happen in the future. Some people can choose wether to save money in fixed deposit accounts some people tend to have cash on hand (Wan Nawang et al, 2008). Some number of peple invested their saving in securities and hope for higher returns on these investments. The parties that responsible and get high expectation from investors in managing unit trust funds is board of directors (BOD), fund management company and the shareholders.

Nowadays, in Malaysia emerging economy unit trust industry had played an importance roles. A lot of people depend solely in this industry directly or indirectly. Investors play the utmost importance key in influencing

To investigate the relationship between demographic profiles and level understanding of the respondants.

2. To determine the effects of product features on investment decision in unit trust.

3. To identify the factor that influence investor in investing in unit trust.

1.4 RESEARCH QUESTION

The research question used in this study were

1. Is there any significant relationship between demographic profiles and level of understanding?

2. What are the effects of product features that influence investment decision in unit trust?

3. What are the reasons for investing and not investing in unit trust investment?

1.5 SIGNIFICANCE OF STUDY

This study will contribute benefit by enriching the existing literature in the field of finance. It will act as a reference material for future student and researchers who like to advance knowledge in finance behavior. The researcher had highlighted areas that need further study at the end of this paper. This will form the foundation for future student and researcher to outcome their own research problems.

The findings of this study expected to assist new investors and investment players in order to understand the contribution of factors towards investment decision. It also will give sparks in implications for fund companies and policy makers. This statistic provided will form a basis evaluation for future researchers understand in depth how unit trust can be develop in

Reasons to invest

H0: There is no significant relationship between reasons to invest in the unit trust conventional or islamic.

H1: There is significant relationship between reasons to invest in the unit trust conventional or islamic.

1.8 LIMITATIONS OF RESEARCH

This research is conducted at Shah Alam, state capital of Selangor. The residence in Shah Alam are considered as eligible perticipant of the research. However, this research only need 100 participant. Out of 100, only 27 respondents were investors while 73 respondents were non investor.

The findings will not showing the actual result. It because the data obtained may be inaccurate for many reasons. For example, the information provided by the respondent is not true and not showing themselves.

1.9 DEFINITION OF TERMS

Definitions of the terms below will be able to assist others for depth understanding on the context of this proposed study.

Unit