International Journal of Management (IJM), ISSN 0976 – 6502(Print), ISSN 0976 - 6510(Online), Volume 4, Issue 4, July-August (2013) 34 INVESTMENT STRATEGIES AND MOTIVATIONAL FACTORS AMONG SMALL INVESTORS: A STUDY WITH SPECIAL REFERENCE TO KARNATAKA STATE Dr. Shivakumar Deene Assistant Professor, Dept. of Commerce, School of Business Studies, Central University of Karnataka-Gulbarga (Karnataka-India) Dr. Satyanarayan Pathi Professor, Dept. of Business Administration, Brahampur University, Brahampur-Odisha ABSTRACT The present study aims to assess the investment strategies and motivational factors involved in corporate investment by small investors of Karnataka state. A total of 425 respondents were randomly selected from cities of Bangalore, Mysore, Mangalore, Gulbarga, Bidar and other major cities of Karnataka. A structured questionnaire developed by the researcher in consultation with the expert was employed for eliciting information from small investors. The data was collected on various investment strategies adopted by small investors, and factors which motivated them to invest in corporate securities. The data collected were analysed through chi-square tests using SPSS for windows. Results revealed that risk and returns topped the list, followed by Intrinsic Value /Current Market Price, Timings of investment, Cost Price of Shares, and Services of Financial Advisors by small investors. For corporate investment by small investors following factors played important role- Quality of Management, Track record of the company, Persuasion of intermediaries, Interim Results, and Press coverage. INTRODUCTION Investing in various kinds of financial assets has become a widespread practice for many people either for accumulation of wealth or for meeting their future financial requirements with the income generated thereon. Now-a-days a wide range of financial assets are made available to people for investment. In the finance area, investment refers solely to the acquisition and administration of securities, which saliently includes stocks, bonds and debentures and warrants that are usually traded in organized markets. An investment is a commitment of funds made in the expectation of some positive rate of return, which will commensurate with the risk assumed by an investor. Corporate INTERNATIONAL JOURNAL OF MANAGEMENT (IJM) ISSN 0976-6502 (Print) ISSN 0976-6510 (Online) Volume 4, Issue 4, July-August, pp. 34-48 © IAEME: www.iaeme.com/ijm.asp Journal Impact Factor (2013): 6.9071 (Calculated by GISI) www.jifactor.com IJM © I A E M E