Behavioural Investing
How behaviour, psychology and temperament shape investing outcomes.
51 articles
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How a Process for Buying/Selling can help you Reduce Remorse
The process of buying in tranches preconditions you to accept the stock price volatility and reduces remorse. The process works best when you have a reasonable correct Fair Price and the Margin…
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Be prepared to change your views, if the facts demand…In the Stock Markets too!
‘When the facts change, I change my mind, what do you do sir?’ – following this Keynesian quote in the stock markets may put you on the road to successful investing. But…
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Stock Analysis vs Prediction: Why Forecasting Prices Leads to Poor Decisions
Forecasts are difficult to make especially those concerning the future. In today’s world stock investing has become synonymous to forecasting! But the key to successful investing is having an analytical approach towards…
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Information Overload in Investing: Why More Data Doesn’t Mean Better Decisions
Information is like an antibiotic. An antibiotic over dosage can have varied effects on our health, from causing complications to being lethal. But what’s so disastrous about having an information overload. Stock…
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Information, like antibiotics, works best when consumed in the right dosage
Discover why information overload reduces accuracy in stock investing and how using just the right amount of reliable data leads to better decisions.
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Stop listening to Experts: Build Your Own Investing Discipline
Listening to experts is almost like an addiction for most stock investors. While many don’t even realize that they are addicted to this, others who have experienced that experts don’t win for…
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Time to switch off media and focus on long-term investing
Till last several months, Media has been touting high equity returns and multi-bagger stock picks at expensive prices.
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Loss Aversion: Why Investors Hold On to Losing Investments for Too Long
One of the biggest challenges in investing is not market volatility or stock selection—it’s managing our own behavior.
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How to make losses less painful?
Learn how to deal with investment losses wisely. Understand loss aversion and make better long-term stock market decisions with actionable tips backed by behavioral finance.
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Did you enjoy Snakes & Ladders in childhood, then why not Equities?
Equity investing often feels unpredictable in the short term, much like a game of Snakes and Ladders.
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Investors’ common mistake during bullish market
You as an investor, may be considering trailing earnings or ROEs as base case for arriving at any valuation.
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Avoid Noise in long term investing!
Yesterday I had an interesting chat with one of our customers. We discussed various news and events. He suggested that we should include these into our research process.
