Digital inclusive finance and asset allocation of Chinese residents: Evidence from the China Household Finance Survey

• Published in: PloS one Vol. 17; no. 5; p. e0267055
• Main Authors: Li, Kun, Mengmeng, He, Huo, Junjun
• Format: Journal Article
• Language: English
• Published: United States Public Library of Science 05.05.2022; Public Library of Science (PLoS)
• Subjects: Asset allocation; Biology and Life Sciences; China; Computer and Information Sciences; Decision making; Digital technology; Empirical analysis; Expected utility; Family Characteristics; Finance; Financial inclusion; Financial literacy; Financial services; Financing; Health risks; Households; Industrialized nations; Intelligence; Investments; Medicine and Health Sciences; Mobile commerce; People and Places; Risk allocation; Risk management; Securities markets; Social Sciences; Surveys; Theoretical analysis; Utility theory; China
• ISSN: 1932-6203; 1932-6203
• DOI: 10.1371/journal.pone.0267055

Combined with the expected utility theory, this paper constructs a theoretical analysis framework including the development level, financial literacy, and intelligence level of Inclusive Finance, puts forward the hypothesis of the development of digital Inclusive Finance on household asset allocation, and uses the data of China's household finance survey to verify the theory proposed in this paper. The empirical results show that: (1) digital inclusive Finance can significantly improve the allocation proportion of household risk assets, promote the rational participation of households in the risk financial market, and improve the allocation efficiency of household resources. (2) Digital inclusive finance can significantly improve the income level of family financial investment and optimize family investment decision-making.