Financial literacy is an important foundation for sound personal financial management and informedinvestment decision-making. The rapid growth of digital banking, fintech platforms, online brokerage services, Systematic Investment Plans (SIPs), and other digital financial products has made investment more accessible to young adults. However, accessibility alone does not ensure that investors understand risk, return, inflation, diversification, liquidity, and long-term financial planning. This study examines the relationship between financial literacy and investment decision-making among young investors, with particular attention to the Tier-2 urban context of Maharashtra and the Nagpur region. The study uses a quantitative, descriptive and analytical research design. Primary data were collected through a structured questionnaire, and the study reports 150 validated responses from young investors. Financial literacy is examined through knowledge of saving, interest, inflation, risk-return trade-offs, diversification, and investment products. Investment decision-making quality is considered in terms of goal orientation, research before investing, risk assessment, diversification, periodic review, and control over impulsive decisions. Descriptive statistics, Pearson correlation, and simple linear regression are reported to examine the association and predictive relationship between the two variables.The reported findings show a positive and statistically significant relationship between financial literacy and investment decision-making (r = 0.642, p<0.001). The reported R² of 0.412 indicates that financial literacy explains 41.2% of the variance in investment decision-making quality within the study model. The findings also highlight the important role of social media and online sources in shaping young investors decisions. The paper concludes with recommendations for educational institutions, financial technology platforms, regulators, and individual investors.

Megha Rajendra Giradkar, "Impact of Financial Literacy on Investment Decision-Making Among Young Investors" International Journal of Scientific Research and Engineering Development, V9(5): Page(431-438) September - October 2026. ISSN: 2581-7175. www.ijsred.com. Published by Scientific and Academic Research Publishing.