Volume 1, Issue 2, December 2022
Articles

Impact of behavioural biases on retail investor’s decision: An empirical Study from Bengaluru

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  • A. Pushpa,
  • Madhu Druvakumar
A. Pushpa
Assistant Professor, Department of Commerce PG, Kristu Jayanti College (Autonomous), Bangalore
Madhu Druvakumar
Associate Professor, Department of Commerce PG, Kristu Jayanti College (Autonomous), Bangalore

Published 2022-12-01

Keywords

  • Mental Accounting, Availability, Anchoring, Investment Decision

How to Cite

Pushpa, A., & Druvakumar, M. (2022). Impact of behavioural biases on retail investor’s decision: An empirical Study from Bengaluru. Kristu Jayanti Journal of Management Sciences (KJMS), 1(2), 53–61. Retrieved from https://www.kristujayantijournal.com/index.php/ijcm/article/view/2282

Abstract

Biases may be thought of as representations of an investor’s mind. It provides the fundamental reasoning behind irrational investment decisions. Retail investors can reduce risk if they can make their choices grounded on rational and irrational decisions. The current study aims to examine two objectives: the impact of mental accounting, availability and anchoring bias on investment decisions and second, y, to identify the most influential factor influencing investment decisions. A survey method with an adapted questionnaire measuring the factors is used to gather the data. A sample size of 210 was considered for the study through convenience sampling. The data collected is run on SPSS software to measure the correction and regression between the independent and dependent variables. The results reveal that among all the biases considered, anchoring bias influenced the decision-making of retail investors.

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