Can I alter security settings for multiple users of fingerprint reader on iphone 5 - i.e. if i allow my daughter to set her fingerprint, can I stop her from accessing itunes store to make purchases???

My daughter wants to access my iphone 5 by adding her fingerprint. Can I alter the security settings so that she cannot make itunes purchases etc?

Not if you want to be able to continue to make iTunes purchases too. You can lock out access to iTunes store using Restrictions (which always needs a passcode to change, Touch ID won't work for changing/removing Restrictions) but that means no one can use any of the restricted features.
iOS has no concept of multiple users with differing access levels like this. Touch ID stores multiple fingerprints, but they're supposed to be all from the same person, the device's owner, not multiple users.
You're going to have to buy your daughter her own iPhone... ;-)

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