Research On Household Financial Portfolio Choice

With the development of bonds, stocks, funds and products of insurance, it becomes more complex for household financing choices. In this background, this paper is trying to research three questions: one is the elements influencing the choices for household financial assets and how those elements act, the second is the relationship between the actions for investing, and the third is policy meaning for the characteristics of household financing assets choosing.This paper does a systematic research on the action of deploying household financing assets, using theory analysis, statistics study, econometric tools and comparative analysis. On the basis of theory analysis, this paper puts forward hypothesis, designs specific questionnaire and puts together data of household financing in Nanjing. Then in the empirical aspect, this paper analyses the elements and distinguishing feature influencing the choice of household financing assets, from the view of products of money market, the security field and secure investing, and proves the hypothesis. Furthermore , it analyses the relationship and interact between the different actions for choosing financial assets using the SEM. At last, it sums up the law for household financial assets choosing and poses suggestions after the contrast.This research has four major conclusions: first, it enriches the researches on micro-data for household financing assets choosing. Second, it overcomes the defects of existent research by combining classical methods of statistic analysis and logistics regression, using new methods of factoring analysis and systematic equation. Third, this paper details the deploy actions for household financial assets choosing, not only considering deposits and stocks ,but also bonds ,funds and insurance products. Furthermore, it puts confidence dimension, risk preference, investor expectation and investor emotion into the model, in addition to the classical characteristics of economic and population statistics. Fourth, this paper raises policy suggestion on the development on our financial market, especially on the micro-market, based on the theoretical and empirical research.