Exploring The Role Of Demographics In Shaping Investor Cognitive Behavioural Biases In Dehradun City

Abstract

This paper studies how different demographic characteristics—age, gender, income and education—correlate with some specific cognitive biases of investors in the City of Dehradun. It, for instance, concerns such behaviour as overconfidence and loss aversion and, in most cases, concludes that the narrative is not as simple as one might think. The study employed a mixed-methods design, collecting both in-depth interviews and surveys, meaning that it merged qualitative data with quantitative trends in a way that is somewhat surprising. Demographics are not just background conditions; they are driving how investors behave, the results show. Younger and less well-educated subjects, for instance, were often paired their statements of decision with a deep sense of overconfidence — while, conversely, older investors generally exhibit more loss aversion. Then, it seems, such characteristics are an important aspect of an investor psychology. This, in turn, has significant implications for investor strategies in healthcare investing; namely, in increasing financial/health literacy and inspiring prudent decisions among a broad cohort of individuals. The research thereby indirectly adds to a more nuanced understanding of investor behaviour in emerging markets and says it highlights the need for education efforts to be mindful of these cognitive biases. It finally indicates that stakeholders in both sectors, financial and medical alike, stand to gain from strategies that consider demographic diversity, which would not only improve investment results but may also foster a more sustainable economic ecosystem in the area.