Niha Sheikh

Considering the snakebite effect experience of investors and their decision-making in the era of robo-advisors, this study focuses on examining the mediating role of the snakebite effect between the value of robo-advisors and investment decisions and assessing the moderation of social-emotional well-being and resilience among active investors. The research process began with an exhaustive review of existing literature and the development of a structured questionnaire. A further survey was undertaken by collecting 361 responses from active investors residing in the region of South India using robo-advisors, and finally, the mediation and moderation were analyzed utilizing confirmatory factor analysis (CFA) to check the model fit and Structural Equation Modelling (SEM) to test hypothetical relationships. The results validate the intervening role of the Snakebite Effect in the relationship between the value of Robo-Advisors and investment decision-making. Further, social emotional well-being and resilience of investors significantly lessen the negative impact of the snakebite effect on investment decision-making. The role of social-emotional well-being and resilience is vital as high tendency leads to a low snakebite effect, better effectiveness of robo-advisors, and investment decision-making. This study provides various theoretical, practical, and managerial implications for improved robo-advisory services and increased adoption among diverse investor segments. In particular, the study emphasizes that financial institutions should focus on hybrid advisory models that combine the analytical capabilities of robo-advisors with the empathetic, personal touch of human advisors.

Bridging the gap between stock market literacy and active participation is the ultimate objective for institutions and policymakers globally, due to its ability to promote inclusive economic growth. In light of this, the study intended to assess the impact of intrinsic and extrinsic motivation on stock market literacy leading to participation. Further, an attempt was made to analyze the intervening role of investment decision and the moderating role of Tri-Layer Market Analysis. With the descriptive design, a survey questionnaire was used to gather data for this investigation, collecting responses from 376 commerce and management students across government, private, and deemed universities between June and July 2024 from the region of Karnataka, India. Following the data collection, statistical techniques, such as regression analysis, one-way Analysis of Variance, and structural equation modelling, were applied to evaluate intrinsic and extrinsic motivation’s direct and indirect impacts on students’ stock market participation. As per the results, the Intrinsic (β =.361, t = 8.416, p = 0.000) and External Motivations (β =.422, t = 9.816, p = 0.000) substantially impact stock market literacy that ultimately impacts investment decision making (β = .450, t = 9.761, p = 0.000) and stock market participation (β =.207, t = 4.495, p = 0.000). The results also validate the intervening role of investment decision in the relationship between stock market literacy and stock market participation (indirect effect: .131).