Investments are now a requirement if you want a secure future. There are several ways to invest, including bank schemes, gold, real estate, post services, mutual funds, etc. The core of the capital market in developing nations like India is comprised of investors. To do this, more savings must be directed onto business sectors. There is a lot of focus on investment as the main tool for a nation's economic development and progress. People invest their money with a variety of goals in mind, including profit, security, appreciation, and stable income. With the aid of stock brokerage companies, many consumers with demat accounts can trade shares electronically at a stock market. The majority of them just seldom and infrequently trade. They might not for a variety of reasons. Investors play a significant role in the stock market since they invest a significant portion of their savings there. Stock regulators should never disregard the logical trading behaviour of stock traders. The current study, whose goal is to ascertain the investing behaviour of those who possess demat and trading accounts in the city of Tiruchirappalli, gains significance in this direction. This study tries to identify additional reasons why investors stop or delay trading and to offer any solutions that could be available.

1. https://iaeme.com/Home/journal/IJM 195 editor@iaeme.com
International Journal of Management (IJM)
Volume 10, Issue 2, March–April 2019, pp.195-199, Article ID: IJM_10_02_020
Available online at https://iaeme.com/Home/issue/IJM?Volume=10&Issue=2
ISSN Print: 0976-6502 and ISSN Online: 0976-6510
DOI: 10.34218/IJM.10.2.2019.020
© IAEME Publication Scopus Indexed
TRADING AND DEMAT BEHAVIOUR OF
ACCOUNT HOLDERS IN THE
TIRUCHIRAPPALLI CITY
Dr. K. Kalaichelvi
Assistant Professor and Head, P.G. & Research Department of Commerce,
Bharathidasan University Constituent College for Women,
Orathanadu, Tamilnadu, India.
ABSTRACT
Investments are now a requirement if you want a secure future. There are several
ways to invest, including bank schemes, gold, real estate, post services, mutual funds,
etc. The core of the capital market in developing nations like India is comprised of
investors. To do this, more savings must be directed onto business sectors. There is a
lot of focus on investment as the main tool for a nation's economic development and
progress. People invest their money with a variety of goals in mind, including profit,
security, appreciation, and stable income. With the aid of stock brokerage companies,
many consumers with demat accounts can trade shares electronically at a stock market.
The majority of them just seldom and infrequently trade. They might not for a variety of
reasons. Investors play a significant role in the stock market since they invest a
significant portion of their savings there. Stock regulators should never disregard the
logical trading behaviour of stock traders. The current study, whose goal is to ascertain
the investing behaviour of those who possess demat and trading accounts in the city of
Tiruchirappalli, gains significance in this direction. This study tries to identify
additional reasons why investors stop or delay trading and to offer any solutions that
could be available.
Key words: health services quality of work life, turnover intention, skilled manpower
competitive advantage, demographic factors, work life dimensions, home life
dimension, organizational commitment.
Cite this Article: K. Kalaichelvi, Trading and Demat Behaviour of Account Holders in
the Tiruchirappalli City, International Journal of Management (IJM), 10(2), 2019,
pp. 195-199.
https://iaeme.com/Home/issue/IJM?Volume=10&Issue=2
1. INTRODUCTION
The growth of the nation's economy and trade depends in large part on the Indian stock market.
The stock market has a direct impact on society because it gives a lot of investors—the people

2. Trading and Demat Behaviour of Account Holders in the Tiruchirappalli City
https://iaeme.com/Home/journal/IJM 196 editor@iaeme.com
who purchase and sell stocks—platforms to do so. Businesses that need to grow or expand will
try to obtain funds from a variety of sources, and these businesses will choose the stock market
as it is the best and simplest approach to produce a significant quantity of capital and income
for the business.
Customer happiness is crucial in today's marketing. The banker is in a position to preserve
service attributes like tangibility, responsiveness, reliability, assurance, and empathy to their
customer in order to keep the existing customer and gain the new one. IOB has to focus more
on the quality of their services across all aspects. The customer seeks higher service quality to
increase his or her level of satisfaction. Additionally, it might vary significantly from one
branch to another. Banks are in a position to meet consumer needs and spread knowledge about
new programmes and technology in order to attract new clients and keep those they already
have. Therefore, public sector banks should aim for 100% customer pleasure, which will
inevitably result in customer happiness, if they wish to retain clients over the long term.
2. LITERATURE REVIEW
According to Woods and Zaichkowsky (2004), certain aspects of each speculator depend on
their shared mentalities and behaviours. Five key trends that influence financial professional
behaviour are shown by a social fund writing survey: the venture skyline, certainty, control,
chance mentality, and personalising of tragedy. Through a survey on these developments, 90
different financial specialists were reviewed. Four main categories of individual financial
experts were identified by a group division analysis: 1) chance prejudiced brokers; 2) sure
dealers; 3) misfortune opposed young merchants; and 4) traditionalist long-term speculators.
Each division purchased various stock types, made use of various data sources, and engaged in
varying degrees of trading activity.
In their 2015 study, Tekce and Yilmaz looked at the haughtiness of solitary stock finance
specialists. The research focuses on Turkey in order to use an exceptional view of the country
dataset and focus on how common arrogance is, what factors affect pomposity, and how
carelessness associated with financial experts improve performance. The study demonstrated
that single stock speculators frequently engage in arrogant behaviour. Men, younger investors,
financial experts with a smaller portfolio, and investors in low-paying and underqualified fields
exhibit greater arrogant behaviour.
Dimitrios et al. (2010) discussed whether mental tendencies (such as hubris and state of
mind) and social insight (such as self-observation) have an impact on the dynamics of individual
financial specialists and their trading behaviour (exchanging recurrence, volume, and
execution). The author finds a connection between these factors and swapping behaviour.
Another examination model was provided to support these linkages after taking everything into
account. The application of this model will increase speculators' knowledge of the financial
dynamic process and trading behaviour.
According to Choudhry and Malik (2006), NSDL, which holds a 55 percent ownership in
the members, is the largest stakeholder. In this way, it functions as a crucial connection for the
majority of the framework's participants. The paper also revealed that the respondents have no
unmistakable or novel ideas regarding the administrations provided by the DPs to their clients.
The majority of responders were satisfied with the safe's common expenditure structure,
demonstrating the altruism of NSDL's current charge structure.
According to Elankumaran and Ananth (2013), the idea of behavioural finance assumes that
players in the capital market's information structure and personality traits systematically affect
both their own actions and market results. Financial planners should have a better grasp of
behavioural processes and outcomes because an investor's investment decisions in any given
market tend to depend more on their behaviour derived from psychological principles of

3. K. Kalaichelvi
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decision making. The future policies and strategies of financial planners, market brokers, and
the government will all be impacted by determining the important aspects that influence stock
trading behaviour. The article's main goal is to investigate the variables affecting stock traders'
attitudes regarding the Indian commodity market.
The study by Grinblatt and Keloharju (2009) analyses the role that two psychological
traits—sensation seeking and presumptuousness—play in the propensity of financial experts to
trade stocks. Information from Finland's equity exchanges is combined with data from
speculator charge filings, driving histories, and necessary mental profiles. The authors found
that haughty speculators and those financial specialists generally prone to feel like looking for
exchange more occasionally after controlling for a wide range of variables, including wealth,
salary, age, number of stocks owned, marital status, and occupation.
The preceding study investigations had their attention on the investor behaviour in
numerous countries, including India, at various times. Studies on the trading and demat account
holders' investing behaviour and the reasons some of the investors hold off or halt trading are
uncommon.
3. OBJECTIVES OF THE STUDY
The main goal of the study was to determine how demat account holders invest their money, as
well as why some demat and trading account holders don't trade frequently and what the causes
are.
4. RESEARCH METHODOLOGY
For the study, a variety of investors with demat and trading accounts served as respondents.
The investigation was conducted entirely from the perspective of those traders and investors. It
is not influenced by any other people or organisations that are related to stock market
investments. Using the probability sampling technique, a sample of 50 participants was selected
for the study in Tiruchirappalli, and a survey was carried out among those who had demat and
trading accounts using a Google Form.
Table 1 Demographic details of the sample respondents:
S.No. Particulars Category No. of
responses
Percentage
1. Gender Female 16 32
Male 34 68
2. Age 18-21 years 8 16
22-25 years 30 60
25-35 years 6 12
35 years and above 6 12
3. Occupation Employed 19 38
Self-employed 7 14
Student 21 42
Unemployed 3 6
According to Table No. 1, there are more male investors than female investors as evidenced
by the higher percentage of male respondents compared to female respondents. 16 percent of
respondents are between the ages of 18 and 21, 60 percent are between the ages of 22 and 25,
12 percent are between the ages of 25 and 35, and 12 percent are over the age of 35. Investors
tend to be between the ages of 22 and 25. 38 percent of sample respondents are employed, 14
percent are self-employed, 42 percent are students, and 6 percent are jobless according to their
occupation. The majority of respondents are students, then self-employed people. The majority

4. Trading and Demat Behaviour of Account Holders in the Tiruchirappalli City
https://iaeme.com/Home/journal/IJM 198 editor@iaeme.com
of respondents are young and early earners who prefer to invest in stocks because they require
a smaller initial commitment than mutual funds and gold do.
Table 2 Investment behavior of the sample respondents
S.No. Particulars Category No. of
responses
Percentage
1. Investment
objective
Capital Protection 7 14
Long term growth 20 40
Short term growth 23 46
2. preferable
investment option
Gold/ silver 8 16
Mutual funds 7 14
Others 1 2
stock 34 68
3. Trading frequency Almost everyday 3 6
Less than once in a month 32 64
Less than once in a week 4 8
More than once in a month 11 22
4. Monitoring
investment
frequency
Almost everyday 14 28
Occasionally 12 24
Rarely 10 20
Almost never 14 28
5. Risk type of Demat
holders
Aggressive 4 8
Conservative 19 38
Moderate 27 54
According to Table 2, 46% of respondents invest with the intention of achieving short-term
growth, 40% with the intention of achieving long-term growth, and 14% with the intention of
achieving capital protection. The majority of responders, it has been discovered, invest with the
hope of making quick money. In terms of the numerous possibilities that respondents think
about for investing, the majority of respondents—68 percent of them—invest in equities,
followed by 16 percent in gold and silver, 14 percent in mutual funds, and the remaining 5
percent in other sources. 64 percent of respondents trade less frequently than once per month,
6 percent trade practically daily, 8 percent deal less frequently than once per week, and 22
percent trade more frequently than once per month. The statistics on the respondents'
investment monitoring frequency show that 28% of the respondents monitor their investments
almost every day, 24% monitor their investments occasionally, 20% of the respondents monitor
their investments rarely, and 28% of the respondents monitor their investments almost never.
Table 3 Reasons for holding off trading by Demat account holders
S.No. Particulars Category No. of
responses
Percentage
1. Keeping trading on
hold
A bad relationship with the
broker
6 12
Huge loss in previous
investment
15 30
Lack of adequate knowledge in
trading
4 8
Lack of interest 15 30
Lack of time to concentrate 10 20
2. Adequate knowledge Maybe 12 24
Yes 19 38
No 19 38

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3. Good broker services Strongly agree 7 14
Agree 13 26
Neutral 14 24
Disagree 4 8
Strongly disagree 12 28
4. Good broker
relationship
Strongly agree 13 30
Agree 3 26
Neutral 11 12
Disagree 15 22
Strongly disagree 8 10
The justifications for trade halts or suspensions are listed in Table 3. If they experience any
significant losses in trading, 30% of respondents said they would temporarily halt trading; 30%
said they would gradually halt trading for a while out of boredom; 20% said they lacked the
time to properly focus on their investments; 38% said they lacked adequate trading knowledge;
28% said they received poor broker service; and only 30% said they had a good relationship
with their broker.
5. CONCLUSION
The purpose of the study was to ascertain how demat and trading account holders invest and
why certain investors delay or discontinue trading for a specific amount of time. His income,
occupation, knowledge of the respondent with regard to the stock market, brokerage services,
and the respondents' ages are among the many elements impacting the behaviour of demat and
trading account holders. Some investors delay or stop trading for a set period of time because
they lose interest after a certain amount of time has passed, fail to gather sufficient information
prior to making a major investment, which results in significant losses on the investment. This
makes the investor less inclined to make additional investments. These factors discourage
investors from engaging in trading. To increase investor interest in maintaining active demat
and trading accounts that serve the needs of the economy, necessary steps must be taken.
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