Behavioral finance theories, which assert that individual investors do not behave rationally in their decision-making process, have been gaining importance in last twenty years. In this study, the data of Income and Living Conditions Survey of Turkish Statistical Institute (TURKSTAT) which were conducting to individual investors in Turkey were used. We analyzed the data employing the logistic regression methodology for the period of 2009 – 2012. The result indicated that individuals’ risk tolerances and investment decisions were affected by demographic characteristics like age group, education level, marital status, as well as socio-economic characteristics like default risk, income risk and income level.