Impact of Institutional Investors Investment Decisions on the Pakistan Stock Exchange

Abstract

Institutional Investors play an important role in the stock price movement of stock markets of a country. The current study explores the factors Heuristic, Risk Aversion (RA), Day-to-day Experience (DTDE) & Corporate Governance (CG) which significantly affect the Investment Decision-marking (IDM) in the Pakistan Stock Exchange. This study addresses this gap and delivers literature concerning the effect of CG & DTDE on the Investment Decision-making (IDM). This study used 215 institutional investors, which are trading in the Pakistan Stock Exchange (PSX). This study used OLS for estimation of models.  The findings revealed that DTDE and CG play a vital role in IDM in Pakistan.