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Abstract
This study aims to explore the relationship between behavioral factors and investment decision-making. Specifically, it seeks to identify how different dimensions of behavioral factors influence investment decisions. A quantitative approach was adopted, collecting responses from 384 investors in the stock market of Butwal Sub-Metropolitan City through a structured questionnaire, using a simple random sampling method. Data was analyzed using PLS-SEM software, employing various tools such as assessment of measurement items, model fit, IPMA, and bootstrapping techniques for hypothesis testing. The results revealed that market information and a firm's image, as independent variables, are key predictors of the dependent variable. It is evident that these factors are major contributors to the dependent variable. Therefore, stock market management should consider these aspects to enhance investment decision-making. By understanding and reformulating policies based on these factors, there is a greater possibility of improving investment decisions.
Keywords: Behavioral Factors, Investment Decision-Making, Stock Market, Market Information, Firm’s Image.