Review of Biases in Individual Investment Decision-Making

This study explored the influence of psychological biases on investment decision making of individual investors. The involvement of psychological biases impacts the investor judgement and decision-making. This study focuses on the development of a conceptual framework for understanding the antecedents of investment decision making. On the basis of past researches, six antecedents namely, overconfidence, risk tolerance, social-influence, representativeness, availability, and herding have been identified to influence investment decision making. This study might be helpful in identifying the impediments of rational behaviour of investors and further it can be useful for studying empirical studies.