Self-control bias

An emotional bias that occurs when individuals lack self discipline and favour short-term satisfaction over long-term goals. Such individuals may favour small payoffs now at the expense of larger payoffs in the future (hyperbolic discounting).

In financial markets, self-control bias may result in overemphasis on income-producing assets to meet short-term needs. In the longer term, self control bias may result in insufficient savings to fund retirement needs, which in turn may cause an investor to take excessive risk later in their lives to try to compensate for insufficient savings accumulation.