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Indian Journal of Finance

ISSN: 0973-8711 Frequency: Monthly Peer Review: Double-blind Published since: 2007 Language: English
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Original Article

Subscription Original Article

Closing the Confidence Gap : A Behavioral Finance Perspective on Women’s Equity-Market Participation in India

Pranamya A. Jain1,  Ashalatha K.2

1 Research Scholar, Nitte (Deemed to be University), Justice KS Hegde Institute of Management, Nitte - 574 110, Karnataka.

2 Professor , Nitte (Deemed to be University), Justice KS Hegde Institute of Management, Nitte - 574 110, Karnataka.

Volume 20
Issue 2
Pages 50–60
Year 2026
Received: Aug. 1, 2025 Accepted: Jan. 20, 2026 Published: Feb. 15, 2026
Abstract

Purpose: India crossed 150 million Demat accounts in March 2025, yet women remain under-represented (≈ 24% of new Demat openings in Fy2025). This piece diagnosed the main constraints behind women’s lower participation in equities and mutual funds and proposed actions to close the gap. Methods : This article engaged in a perspective-style synthesis drawing on official statistics (SEBI, AMFI, RBI, OECD, World Bank), secondary reports, peer-reviewed studies, and cross-country program examples. Key

Findings: Women’s participation trails market deepening: women contributed ~30.5% of SIP assets and are reported at ~14% of direct-equity assets under management (AUM) and ~24% of mutual funds AUM. The primary bottleneck was framed as a financial literacy–confidence nexus: Literacy matters, but lower confidence and “permission-seeking” norms impede acting on knowledge; behavioral factors (stereotype threat, loss salience) and product complexity further reinforce the gap. Cross-country contrasts suggested defaults (auto-enrolment) and lifecycle education can materially narrow gender gaps.

Originality: It shifted the policy focus from information deficits alone to confidence and agency, and proposed a five-pillar roadmap: School curriculum integration, opt-out workplace defaults for women, “gender-smart” adviser certification, SHG-based investment circles, and a national gender investing dashboard with quarterly reporting.

Keywords behavioral finance women investors equity-market participation financial literacy gender finance financial inclusion
How to Cite

Pranamya A. Jain, Ashalatha K. (2026). Closing the Confidence Gap : A Behavioral Finance Perspective on Women’s Equity-Market Participation in India. Indian Journal of Finance, 20(2), 50–60. https://doi.org/10.17010/ijf/2026/v20i2/175225

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