Editor-in-chief

Prof. Paul Sudnik

Munich University of Applied Sciences, Germany

As the Editor-in-Chief of IJSSH, I invite you to contribute your scholarly work to our esteemed publication. The journal publishes papers which focus on the advanced researches in the field of all aspects of social science and humanity. I'll endeavour to make this journal grow better and hopefully it will become a recognized journal among researchers and scholars in related fields.

Home > Archive > 2025 > Volume 15, Number 2, 2025
IJSSH 2025 Vol.15(2): 58-66
doi: 10.18178/ijssh.2025.15.2.1242

How to Control Behavioural Biases and Improve Investment Decisions

Sophia Sea
National Junior College, Singapore
Email: sophiasea08@gmail.com

Manuscript received December 2, 2024; revised January 4, 2025; accepted February 11, 2025; published March 20, 2025.

Abstract—Individual investors often make irrational investment decisions, due to behavioural biases present in human nature. This flaw in individual investors has been widely studied in many finance and economics literature, which show that behavioural biases have negative implications on individual investors’ decision-making and ultimately their financial gains. Thus, the objective of this research is to raise awareness on the importance of controlling behavioural biases in order to make more rational investment decisions. This paper analyses the common behavioural biases present in individual investors, such as overconfidence, loss aversion and herding. Moreover, the study evaluates the advice given by experts, such as Warren Buffett and Charlie Munger, to help individual investors identify and adopt more sustainable investment strategies, in order to make more informed investment decisions and avoid common pitfalls. By recognizing their behavioural biases and adopting strategies to mitigate them, individual investors will be able to improve their investment outcomes and achieve their financial goals. 

Keywords—behavioural bias, individual investors, investment decision-making

Cite: Sophia Sea, "How to Control Behavioural Biases and Improve Investment Decisions," International Journal of Social Science and Humanity, vol. 15, no. 2, pp. 58-66, 2025.

Copyright © 2025 by the authors. This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).

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