Open AccessOverconfidence and Investment Decisions in Nepalese Stock Market
Author(s) -
Niyam Raj Shrestha
Publication year - 2019
Publication title -
pyc nepal journal of management/pyc nepal journal of management
Language(s) - English
Resource type - Journals
eISSN - 2738-9847
pISSN - 2091-0258
DOI - 10.3126/pycnjm.v12i1.30583
Subject(s) - overconfidence effect , descriptive statistics , investment decisions , investment (military) , stock market , stock (firearms) , business , actuarial science , economics , behavioral economics , financial economics , finance , psychology , social psychology , statistics , mathematics , politics , political science , law , mechanical engineering , paleontology , horse , biology , engineering
This paper assesses the effect of overconfidence bias of an individual on investment decisions. This study uses the descriptive statistics and follows analytical approach to analyse the effects of investors’ behaviour on investment decisions. The data for the study were collected through questionnaire survey. This study finds that women investors, investors having college education, and investors having net worth between Rs 2 to 5 million are confident in their own ability. They believe that they are better investors than their peers and tend to trade more.