The Development and Validation of InvPERC Scale: A Perception Study

Abstract

: The rationale behind this research is to frame a novel measurement scale for mutual funds-“The InvPERC Scale”. This scale focused on ascertaining non-conventional factors, apart from risk and return, influencing investor perception of Indian mutual fund investors towards this investment avenue.The exhaustive assessment of the available literature canvass showed that no scale for measuring investor perception toward mutual fund performance is available. Therefore, the scale was developed by thoroughly analyzing investors’ opinions on mutual funds. Data for the analysis has been gathered through 1280 mutual fund investors’ questionnaire-based surveys and put into meticulous data analysis. The findings of this research work present a combination of three factors playing a decisive role in framing mutual fund investors’ perception namely convenience, credibility, and intrinsic fund qualities.