Loss Aversion Biases

I find that some people are married longer to their stocks than their spouses. 😂😅😛

This is nothing but loss aversion bias.

People generally are reluctant to book their losses and keep holding the stocks in the hope to recover their cost price. And worse, few even average out the falling knives.

For an Investor, it is very important to accept the mistakes, learn from them and to move on.

It is far better to pay premium for excellence than to enjoy discount for average.

Kaustubh Deole

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