Financial Reporting, Framing Effects and Successful Investment Decision

Abstract

The purpose of this study is to determine the relationship of the financial reports and investment decision and framing bias affects the relationship of financial reporting and investment decision. We collected data through 225questionnaires from individual investors of Islamabad stock exchange (ISE). Result shows that financial reporting is significantly positive associated with investment decision and framing bias affects the relationship of financial reporting and successful investment decision. Our study may help the investor to focus on present facts and choices as neutrally and consistently at the time of investment decision and to keep the big picture in mind.