Involving Kazakhstani households in national stock market participation

Scope and Method of Study. Personal stock ownership significantly contributes to stock market turnover, and serves as a tool for raising the wealth of the households (Bogan, 2008). Policymakers consider a significant role that individual stockholders play at world financial markets. This research was conducted in the context of the Investment and Financial Literacy of the population of the Republic of Kazakhstan program for 2007-2011. The study was intended to examine the financial literacy of Kazakhstani residents and define the main factors in promoting financial education and stock market participation in Kazakhstan. Social learning theory was used as a theoretical framework for the research.;Findings and Conclusions. A total of 445 respondents from two Kazakhstani colleges completed an online survey. The study found that the average financial literacy score of participants was 42.9%. Overall 45.8% of the respondents had investment experience and 4.9% have owned stock. Social interaction was confirmed to be an important factor in making decision of owning stock. At the same time respondents demonstrated interest in raising financial literacy and in gaining knowledge about the stock market. Mass media using visual communication were concluded to become effective agents in providing financial education for the public.