Abstract  

This paper refers to the topic of the determining factors that are influencing individual investment decision. According to the theoretical basis of investment decisions, a wide range of factors - traditional factors and behavioral factors - influence investment decisions, while demographic characteristics such as age and gender also play a role. The limited Greek literature highlights that, although experienced investors emphasize rational criteria such as accounting information, subjective and personal factors remain particularly important. This work investigates the main determining factors influencing individual investment decision, through a systematic review of the literature on Web of Science database. The seven studies that were included in the present review, using the PRISMA standard, showed that the investment decision is shaped by a complex of factors, including the investor's demographic data such as age, gender, income and education, the degree of his/her risk tolerance, the recommendations of stock consultants, his/her ambitions (desire to maximize returns, satisfaction of specific life needs through the investment he chooses), his/her prejudices, his/her personality characteristics and the influences he/she receives from social networks such as his/her colleagues. Due to the fact that the investment decision is an extremely complex matrix of factors, future research should examine how all of these factors interact together. What in more, it is proposed to examine how ambitions and investors' own biases over time. Findings of the present review can be utilized by financial advisors, fund management companies and banks.

JEL classification codes:

G1 General Financial Markets

G4 Behavioral Finance