Recency Bias

A sigh of relief! Finally, your SIP is again looking positive. But what went wrong in April to June 2020? Why was your 1 year, 3 Year, 5 Year, and even 10-year SIP negative? And Negative SIP means – Many investors lost faith in MFs and resolved to withdraw and started putting money in BankRead More

20 Behavioral Biases In Investing

by Madhupam Krishna

Anchoring Bias, Availability Heuristic, Bandwagon Effect, behavioral biases, Blind Spot Bias, Choice Supportive Bias, Clustering Bias, Confirmation Bias, Conservatism Bias, herd mentality, Information Bias, investment biases, investor, ostrich effect, Outcome Bias, Overconfidence Bias, placebo effect, Pro-innovation Bias, Recency Bias, Salience Bias, Selective Perception, stereotyping, Survivorship Bias, Zero Risk Bias

One of the main features of investing is “making a decision”. This means you have to take decisions based on information regarding where, when, how much and for what time to invest. Often these decisions are based on what you think and your emotional response. This is called Behavioral Finance. The study has revealed TopRead More