Hi Investors !
Welcome to the brand new edition of this investing newsletter which intends to set a retail investor free from Avidya (अविद्या ) i.e. Ignorance towards विद्या i.e. Knowledge ! As Shrimad Bhagavad Gita says-
“सा विद्या या विमुक्ताये ”
Meaning true knowledge/wisdom always liberates.
I have written a piece on my personal journey towards financial awakening, so to say, here
Talking of becoming a better investor, It need you to get rid of your biases.One bias I come across very frequently is Attribution Bias. Attribution bias is the tendency to explain a person’s behaviour by referring to their character rather than any situational factor. In essence, it leads us to overestimate the weight of someone’s personality traits, and underestimate the influence of their individual circumstances.
You can smell it in yourself in case of PSUs as you tend to avoid investing in PSU altogether, without attributing to the changed dynamics. A case in point here is Indian Railways Finance Corporation . I have made a detailed video on this scrip here: