Confused....
12:29 PMSo after a long time, I’m here to write again. So what should I write about? After reading about so many market predictions and how to? recommendations I found myself confounded. Some say buy this sell that , other say “Still no signs of green shoots”. Me as a really small retail investor is apprehensive about every step because my mind is anchored to those hey days of market downfall. Those were the days where you can really throw a dart and come out winning. But things have changed right now and investor need to be cautious and alert as to when to strike the next opportunity.
Well the major issue today almost everyone is facing is an anchoring effect where you get anchored to the 52 weeks high lows and forgot about the real value of the underlining assets (tangible and intangible). Well this is one mistake that I made where I anchored and due to which I was caught by Decision Paralysis, and I lost so many great opportunities. I kept waiting for lows and bottoms but never made a decision. And those actions or inactions cost me making big scores.And I’m going to keep this in mind for future. I’ll keep working on my mental models till they reach from my mouth to my mind. For all the small investors like me , show is not over and you can still fight hard to search for those birds in the bush which are ready to fly and can give good returns according to your bench mark. My Bench Mark is 24% CAGR, which I failed to achieve since I started my fund although I have beaten the market in both the years[Oh no!!! again Anchoring but I have to].
Book Reco:----
I recently completed Mary Buffet’s “Buffet logy” and I’m quite impressed with her simplicity. She has explained the crux of Buffet Investing in a real simple manner to us. I would recommend that Book to You.
Read This article From Sanjay Bakshi’s blog
http://www.sanjaybakshi.net/Sanjay_Bakshi/Blog/Entries/2009/8/2_The_Chart_that_worries_me.html
0 comments