What happens when you snatch a bone from a dog’s mouth?
We humans are loss averse. Therefore when presented with a prospect of loss, we tend to super react to avoid the loss. A few examples from our daily life.
Author: Vikas Kasturi
I am a value investor, based out of Bengaluru, India. I use this website to write about my thoughts and ideas.
You can reach me at vikasmkasturi@gmail.com.
Doing nothing, when doing nothing is needed
Sometimes, inactivity can lead to better output than activity. Discussing a few examples here.
A thought experiment in rationality
Incentives are a super power and your incentives and that of your fund manager may differ.
How much would you pay for a 100 Rs note?
In the stock market, the price of companies fluctuates. Exploring this topic with an example.
Cooks, Banks and others
Switching costs can be an exit barrier. Some companies, like your favorite cooks, make it ‘expensive’ to switch.
An evolutionary handicap, Bengaluru’s traffic woes and a Product’s sales
Sometimes the changes can build up slowly without anyone realizing, much like the frog that doesn’t realize that the water is getting hotter gradually.
Fantastic compounding machines and where to find them
Compound Interest is a wonderful thing. The stock market is a wonderful place to find such compounding machines.
Benjamin Graham, Charlie Munger and the Superstore
A superstore analogy of how Charlie Munger and Ben Graham approach investing.
Interest upon Interest 