Authors: Zandri Dickason–Koekemoer and Suné Ferreira

Research Article

Year: 2020, Volume 20 Number 1

Pages: 135–144


The concept of behavioral finance is becoming more recognized in the financial and investment environment. The concept of behavioral finance implies that investors do not necessarily make rational investment decisions. It argues that investment decisions are often influenced by emotional or other non-rational factors, leading to irrational investment choices. The study aimed to figure out how investors among different age categories make investment decisions based on behavioral finance biases and their level of life satisfaction. Behavioral finance biases seem to be largely responsible for this deviation in investment decisions. Investors among all age categories tend to have representativeness bias. Older investors were also found to be more satisfied with their life than younger investors.

Keywords:behavioral finance, age, investors, satisfaction with life