The study focuses on establishing a connection between the Fear of Missing Out (FOMO) and Herding behavior among retail investors in the Indian context. The research involves a systematic review of the existing literature, using various inclusion and exclusion criteria. Overall 40 articles were reviewed refraining from the study on the impact of FOMO and herding behavior on investment decision-making across different financial markets. While various factors contribute to investment decision-making, such decisions are often subject to irrationality courtesy of behavioral biases. Herding has been a common phenomenon in the Indian equity market. The study provides insight into the impact of FOMO and herding behavior on investment decisions and how these behaviors can affect the rationality of investment decision-making. Understanding the impact of such behaviors could help investors make more informed and rational investment decisions, thus contributing to sustainable investing practices in the Indian market. The study also suggests that FOMO and herding have been predominant factors for investing in the equity segment. However, SRI can bring more rationality among investors and can reduce the impact of such behavioral biases on decision-making.

FOMO, Herding Behavior, Decision Making, Irrationality and Stock Markets.