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This paper aims to identify the variables responsible for classifying the investors into risk takers (RT) and risk avoiders (RA) across their economic perspectives.

The research offers a novel and unobtrusive measure of classifying investors into RT and RA based on a set of financial risk tolerance (FRT) questions. The authors have investigated the causes of discrimination across economic perspectives over a sample of 552 investors exposed to market risk.

The authors identify that out of the total of 11 risk assessment variables, only three are responsible for classifying investors into RA and RT. The variables are risk return trade-off, comfort level dealing with risk, and understanding short-term volatility. Financial literacy is considered as an emerging cause of discrimination. Further, the authors highlight the most striking finding to be the discriminating factors across wealth and source of income of the investors.

Existing research on FRT can be loosely segregated into three groups: the relationship between an individual's financial and non-FRT, estimation of FRT score (FRTS), and perceived self-assessed FRTS. The current research roughly falls into the third category of study where the authors have not only studied the self-assessed risk tolerance but also evaluated the predictors. Most of the studies have focussed on estimating self-assessed FRT with the help of one direct question to the respondent. However, the uniqueness of this study is that the researchers have used an instrument comprising a series of direct and indirect questions that can easily estimate the self-assessed risk perception and also discriminate the role of the economic factors that have any impact on self-assessed FRTS.

This study aims to examine the nexus among financial inclusion, legislative corporate social responsibility (CSR) and the financial performance of banking companies in India.

The study uses the fixed-effect model to measure the impact of financial inclusion on the financial performance of banks listed in the Bank Nifty Index from 2015 to 2022. Furthermore, it examines the interaction effect of legislative CSR and financial inclusion on the performance of banks.

The study shows that financial inclusion indicators positively affect financial performance, which is critical for banking institutions. Empirically, the study provides evidence that legislative CSR is a significant moderator that can influence the relationship between financial inclusion and the financial performance of banks.

The emerging nations may concentrate on implementing legislative CSR spending to achieve economic value for their firms and societal responsibility toward stakeholders.

As per the authors’ collective knowledge, this study is the one that extends the empirical evidence that the legislative CSR is a potential moderator which influences the relationship between financial inclusion and the performance of banks.