Behavioural finance, recent development, challenging the classical models, explains investment risk at the instance of irrationality of cognitive psychological influence and phenomenon in arriving at investment decision. Claimants of business financial assets make choices that satisfy their interest best dependent on relevant and reliable financial information, communicated to potential investors. Distortions in the processes may lead to investment failure, and taking responsibility is severally assigned. The study investigates how behavioural finance is a distinct concept and theory as cognitive psychology or diagnostic phenomenon in distortions in investment decision. Literature is perused to address the study objective. In the contemplation of the study behavioural finance may deviate as a unique concept on its own in investment decision making, but catalyst and arbiter for goal congruence to be achieved at any stage in the decision process.   

Keywords- Behavioural finance; Financial information; Communication distortions; Noise