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HinduBusinessLine

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Question of choice

  • The behavioural gap refers to the difference between investor returns and investment returns caused by emotional decision-making.
  • Letting emotions dominate investment decisions can lead to adverse consequences.
  • Investors can manage emotions by simplifying their investment choices and hiring an investment coach or advisor who understands behavioural aspects of investing.
  • Choosing an investment advisor skilled in financial counselling can improve financial well-being and reduce anxiety arising from market risks.

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