A Study On The Influence Of Gender On Emotional Biases In Investment And Trading Behaviour In Kanyakumari District

Abstract

This study investigates the emotional biases influencing investment decisions among male and female investors in Kanyakumari District. It focuses on four key emotional biases—overconfidence, loss aversion, herd behavior, and regret aversion—and explores how these psychological factors differ across gender lines. Using both descriptive and inferential statistical tools, including Discriminant Analysis, MANOVA, and Time Series Analysis, the research examines the role of demographic variables such as age, income, education, and occupation in shaping gender-specific investment behavior. The findings reveal that male investors exhibit higher levels of overconfidence, while female investors are more prone to regret aversion and herd behavior. Income emerged as a significant demographic factor influencing emotional responses in investment. Furthermore, the study highlights a steady increase in awareness of emotional biases among both genders over time, with the gender gap in awareness steadily narrowing. The results underline the need for gender-sensitive financial literacy programs and tailored advisory strategies to enhance informed investment decision-making. This research contributes to the growing field of behavioral finance by offering practical insights for financial advisors, policymakers, and educators.