Analyze & Evaluate the Investor Database of XYZ Investment

Added on -2020-02-14

| 11 pages| 1685 words| 80 views

Trusted by 2+ million users,
1000+ happy students everyday

Showing pages 1 to 4 of 11 pages

Statistics
Table of ContentsINTRODUCTION...........................................................................................................................3SECTION 2.....................................................................................................................................3SECTION: 3....................................................................................................................................3Option: 1......................................................................................................................................3Option: 2......................................................................................................................................5Option 3.......................................................................................................................................7SECTION 4.....................................................................................................................................8SECTION: 5....................................................................................................................................9CONCLUSION..............................................................................................................................10REFERENCES..............................................................................................................................11Gender Differences in Investing:Shifting the Financial Services Industry.........................11
INTRODUCTION Looking to the current uncertain market, decision-makers andinvestors utilize number of statistical tools & models to deal with theprospective uncertainities and changes in external conditions. Statisticaltools enable policy makers to make judgemental, realistic and convincingdecisions based on the statistical outcome. The aim of the given assignmentis to analyze & evaluate the investor database of XYZ investment advisorwhich is an international organization and make investment on the behalf oftheir consumers. In this, various statistical tests like hypothesis testing, t-testand others along with the graphical visualization i.e. scatterplot and otherswill be made for the purpose of making sound analysis. SECTION 2 According to article males prefer to invest money in the securities high as compared tofemales. The reason behind this, males are considered as risk taker and lays emphasis on takingmore risk with the motive to make value addition in the monetary aspects. Hence, it can be statedthat from evaluation that men tend to be highly overconfident in against to women (Genderdifferences in investment: Shifting in the financial service sector, 2017).Besides this, it has been found that men make more investment in terms of 45% over women.Authors also mentioned in their report that trading reduces the return earned by men during ayear by 2.65. On the other side, such percentage accounts for 1.72% in the case of women. Thus,it has been assessed that women are good investors in comparison to men. However, in the caseof excessive trading both men and women suffer high loss. Further, in article author stated that atthe time of making investment decision women consider several factors such as risk, return, timeperiod, credit rating of concerned organization etc (Male Investors vs. Female Investors, 2017).On the other side, males make focus on generating higher returns by investing money in thesecurities. Thus, it can be presented that females are smart investors as compared to males.
SECTION: 3Option: 1Two categorical variable: I: Gender: Female/MaleII: Investment type: High risk/Low riskTwo-way frequency table CrosstabGenderTotalfemalemaleInvestment typehigh riskCount3564768211246Expected Count4518.66727.411246.0Low riskCount125081624628754Expected Count11553.417200.628754.0TotalCount160722392840000Expected Count16072.023928.040000.0Interpretation: The derived outcome presented that female prefer low risk as their countis derived to 12508 greater than the count of high risk to 3564. Likewise, male group is alsofounded risk averse because the candidate with low investment risk is identified to 16246 greaterthan that of risky group to 7682. Still, in comparison, the proportion of high risk is foundedhigher for the male group (7682/23928*100) 32.10% while in female, it is (3564/16072*100)22.18% only (Koch, 2013). Chi-square testHypothesis testingH0: The group of female with different investment type is independent tomale with high & low risk investment.

Found this document preview useful?

You are reading a preview
Upload your documents to download
or
Become a Desklib member to get accesss

Premium

$45

Q&A Library Access

Chat support

12

Document Unlocks

4

Answer Unlocks

Students who viewed this