Kuvera's video: Investment Biases by Charlie Munger

Charlie Munger is the vice-chairman of Berkshire Hathaway and a renowned investor. He is known for his unique approach to investing and has shared some invaluable insights on how human biases can affect our investment decisions. 0:28 | OVEROPTIMISM: This bias can cause us to overestimate the likelihood of positive events and underestimate the possibility of negative events. For example, we might invest in a company because we think that it will perform well in the future, but we fail to consider the risks that the company may face. This bias can lead to poor investment decisions and can result in significant losses. 0:50 | DEPRIVAL SUPER REACTION TENDENCY: This bias refers to our tendency to overreact when something is taken away from us. For example, if we own a stock that has been performing well, and the stock suddenly drops in value, we may panic and sell the stock, even if it is still a sound investment. This bias can cause us to make impulsive decisions and can result in missed opportunities. 1:14 | SOCIAL PROOF TENDENCY: This bias can cause us to make investment decisions based on what others are doing, rather than on our own research and analysis. For example, if everyone is investing in a particular stock, we may feel pressured to invest in it too, even if it doesn't align with our investment goals or strategy. This bias can lead to poor investment decisions and can result in significant losses. 1:33 | STRESS INFLUENCE TENDENCY: This bias refers to our tendency to overreact when we are under stress. For example, if the market suddenly drops, we may panic and sell our investments, even if they are still good investments. This bias can cause us to make impulsive decisions and can result in missed opportunities. 1:51 | LOVE/HATING TENDENCY: This bias can cause us to ignore the good qualities of a person or company that we don't like and hate all things associated with them. For example, if we don't like a particular company, we may ignore the good qualities of the company and avoid investing in it, even if it is a sound investment. This bias can lead to missed opportunities and can result in poor investment decisions. Check out our "Investing with Legends" series to learn more about the investing principles followed by legendary investors.👇 https://www.youtube.com/watch?v=KDhnD534drc&list=PLDSzQdT9nLmBIng1mZlMsERe3yC-2DOD- Stay updated with super cool videos on investing. Subscribe to Kuvera Channel https://bit.ly/3bawMXK Follow the conversations across Kuvera.in on Twitter : https://twitter.com/Kuvera_In Facebook : https://www.facebook.com/kuvera.in/ Linkedin : https://www.linkedin.com/company/kuve... To watch more Insights on Market and Mutual Funds, Kuvera Insights Playlist : https://www.youtube.com/playlist?list... To start your investing journey hop over to: https://kuvera.onelink.me/t2AP/75vhvlau —--------------------------------------------------------