Title: IMPACT OF BEHAVIOURAL BIASES ON INVESTMENT DECISION-MAKING IN THE INDIAN CAPITAL MARKET
Author: Kaja Dharani, Kota Murali, Shaik Shareef, Papa Rao Maddala and Ranga Nagendra Babu
Abstract:

Behavioural biases play a significant role in shaping investment decisions within the Indian capital market, influencing investor behaviour and affecting overall market dynamics. This paper explores the impact of these biases on investment decision-making, specifically within the Indian context. Through an extensive review of existing literature and empirical evidence, the study examines various behavioural biases, including overconfidence, loss aversion, herding behaviour, anchoring, and cognitive dissonance, among others, and their effects on investment choices. By providing a deeper understanding of behavioural finance in India, this research offers valuable insights for investors, policymakers, and market participants, helping to improve decision-making processes and enhance market efficiency in the Indian capital market.

Keywords: Investor behaviour, Investment decision making, Behavioural finance
DOI: https://doi.org/10.38193/IJRCMS.2026.8544
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Date of Publication: 10-10-2026
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Published Vol & Issue: Volume 8 Issue 5 September-October 2026