Overconfidence bias found in Indian stock market, impacting investment decisions.
Investors aim to make smart investment decisions, but biases can lead to irrational choices. A study looked at Indian stock market data from 2005 to 2019 to see if overconfidence and disposition biases affected portfolio investments. They used a method called Vector Autoregression to analyze the data. The study found evidence of overconfidence bias in the market and selected portfolios, but did not find the disposition effect in portfolio investments.