Does well-being impact individuals’ risky decisions and susceptibility to cognitive bias?

Carly Moulang, Maria Elizabeth Strydom

Research output: Contribution to journalArticleResearchpeer-review

1 Citation (Scopus)


This article explores the relation between individual well-being, risky decision-making, susceptibility to cognitive biases and investor beliefs about investing. A survey of one hundred and two individuals revealed that those with higher satisfaction with life are more prone to taking risks. In a loss frame, participants who were most likely to take a gamble had higher levels of psychological, social and overall well-being. Lower levels of satisfaction with life were found to impact the susceptibility of the reflection effect cognitive bias. In addition to this, well-being was found to be associated with investment beliefs, particularly those concerning diversification, the need to be alert and active, and the risk/return trade-off.
Original languageEnglish
Pages (from-to)493-527
Number of pages35
JournalAccounting & Finance
Issue numberS1
Publication statusPublished - Nov 2018


  • Well-being
  • Risk taking
  • Cognitive biases
  • Decision-making
  • Positive psychology

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