Abstract:
Financial satisfaction is the result of a certain form of behaviour involving how people
manage their money to meet their financial needs. Financial demand is said to be effective
if it can fulfil the short and long term consumption needs of individuals without any flaws.
This research aims to examine the relationship between financial knowledge and financial
satisfaction. The investors in the Colombo Stock Exchange who live in the Jaffna district
were considered for this study, and convenient sampling was used to select the
participants. Financial knowledge was considered as the independent variable, while
financial satisfaction was considered as the dependent variable. Statements have been
used in the questionnaire to measure financial knowledge and financial satisfaction using
5 points Likert Scale. The primary data was collected via a questionnaire from 186
individual investors covering the period from June to July 2020. The Cronbach's Alpha
values were greater than 0.7, indicating that the variables were reliable. The results of
regression analysis revealed that there is a significant impact of financial knowledge on
financial satisfaction. Therefore, it was concluded that there is a significant relationship
between financial knowledge and financial satisfaction. To generalize the results, future
researchers should include more variables that could affect financial satisfaction, as well
as include more respondents.
