• Keerti G Kulkarni

Behavioural finance is the branch in the field of finance which studies the influence of disciplines like psychology, economics, sociology and Finance and their impact on investor’s decisions. Subsequently, it also to the higher extent affects the stock market also. The crux behind the study of behavioural aspects in finance is based on the fact that it focuses on the fact that investors are not always rational. They have their own perception, information precision and experience when it comes to investing in funds. They have limitations and can exercise self-control which is the resultant of biases leading to haphazard decisions. The present study focuses on predominantly the information asymmetric factor which has an impact in investors investing decisions. This is done with the help of thorough review of literature form various research contributions and tries to understand the reasons and consequences. Information efficiency is termed as all the efficient information which reflects the stock prices in market. It is very evident from the economic theory that the asymmetric information has been the convincing explanation for market failures. There has been an imbalance of information between the stock market participants can lead to market failure. Asymmetry in information leads to investment decisions taken in ignorance with due interests in the wake of stock market events. It could also add to increased cost of capital to the investors. Investors make decisions based on certain assumptions and hypothetical views about various sources from where the information flows alongside referring to the other peer group of who have subtle knowledge about the events in stock markets. Here, the study aims at understanding the intensity of impact that an investor faces while knowing the amount of information and its precision which could affect his decisions. Keywords:

Behavioural finance, Information Asymmetry Information Efficiency, Stock Prices, investment decision

"Asymmetric Information and its Behavioural Impact on Investors: A Review", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.8, Issue 5, page no.d862-d866, May-2021, Available :http://www.jetir.org/papers/JETIR2105509.pdf

"Asymmetric Information and its Behavioural Impact on Investors: A Review", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.8, Issue 5, page no. ppd862-d866, May-2021, Available at : http://www.jetir.org/papers/JETIR2105509.pdf