Individual investors occupy a prominent place in the economic development of a nation Their saving pattern need considerable attention.This analyse based upon a research article published in the lastest issue of Finance India the Quarterly Journal of India Institute of Finance. The studay has conducted by Dr. V Rajarajan, a Senior Scale Lecturer, faculty of Commerce, Kanchipuram. According to him, Investors were classified into groups on the basic of their stage in Life Cycle, Investment size adn percentage of Investments in risky assets.

According to study the relationship between the stage in Life Cycle and risk tqaking and the stage of life cycle adn investment size of India Investors has not been examined adequately.

The study sescribed an Individulas risk tolerance is unique and subject to change influenced by Investor's wealth position, health, family Situation, age and tmperament .An Individuals appeared to Increase their Investment in risky asset through their working lif time and decrease their risk exposure once they retire.

For the purpose of the persent study the family life has been divided into five stages. The first stage when the individual is unmarried and has a very long time horizon with potentially growing steam of doscretionary income and he can make high risk and capital gain oriented investment. The second stage married with no childern, has a different impact on the investment depending on the employment status of the spouse. The third stage of the life cycle is where the family expenditure starts rising adn the investment amount consequently gets reduced. Expenses on family such as education for childern, medical expenses, housing loan availed engulf a major portion of the income stage IV is the period when youngest child 6-20 years. many financial serivces are demanding as the family's needs increases, finance for education of childern and insurance take a big chumk of income leaving very less for investment purposes.The statge V, youngest child (above 20 years) mostly above 50 by now childern start earning asdn leaving home and people are beginning to plan for retirement. It is also time for more social engagements/holydays adn medical expenses. Investment is fixed Income bearing securities get pricrity.

Thus it can be said that stage in life cycle life individual investors is an important variable in determining the size of Investment infinancial assets and the percentae fo financial assets in risky Category.