Abstract:
There has been a recent surge of interest in socially responsible investment, attracting attention from all industries, including investors. Nevertheless, the factors that impact one's attitude and attention towards SRI remain relatively unexplored. Hence, this study aims to identify important factors that shape the attitude and attention of consumers when making investment decisions in the stock market. The data is collected from the individuals who are already investing in stocks. Therefore, the target population for the study are those individual investor trading actively at Pakistan Stock Exchange (PSX). For data collection non-probability sampling techniques is used because of the non-availability of the sampling frame. The minimum sample size of two hundred is suitable when using structural equational modelling for effective generalizability and validity (Hair et al., 2006). However, the present study has used sample size 400 which will be above the minimum sample size requirement. In first phase the pilot study was conducted, and the data is found reliable. PLS-SEM is employed in the second stage. The data analysis employs the technique of partial least squares structural equation modelling (PLS-SEM). The study findings indicate a substantial relationship between collectivism, knowledge, and SRI bias, and the attitude towards SRI. However, there is no significant association between perceived danger and attitude towards SRI. Attitude exhibits a robust and meaningful correlation with SRI.