INDIAN EQUITY BUBBLE: AN ANALYSIS OF INVESTOR BEHAVIOUR THROUGH BEHAVIOURAL BIASES

Abstract The Indian equity market experienced an increased stock market prices over a year. This rally in stock market happen at a time when national product is contracting to low levels since reforms started in 1991. As modern financial theories such as expected utility theory often fails to address these anomalies, an analysis is made in the context of behavioural finance and biases to shed light in these unusual investing patterns