1 Dec Smart and successful way of investing calls for a thorough understanding of behavioral finance not just market sentiments, crowd behavior or. Value Investing And Behavioral Finance. Front Cover. PARIKH PARAG. Tata McGraw Hill Education Pvt. Limited, – Electronic books. Value Investing and Behavioral Finance: Insights into Indian Stock Market Realities [Mr. Parag Parikh] on *FREE* shipping on qualifying offers.

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As soon as they see PE expanding beyond reasonable limits, they should sell and exit. For example, the cue for the bubble of was the real GDP Growth from 6 to 9 percent. Also check out their web-site www.

Value Investing and Behavioral Finance by Parag Parikh – Review by Manish Bansal

It says that many of us are lazy, greedy, ambitions, selfish and ignorant. He hit the very basics required by the investor. Self-belief and conviction will sail you through. Mind boggles when one thinks of the potential!. IPO is against investor interest, as it is mostly offered to investors when they are willing to pay a higher and outrageous valuation in boom times.

As readers of my blog, value investing and behavioral finance by parag parikh of the Book Review Series on 50 Books on Financewill no doubt know, I love reading and reviewing books that contain pearls of wisdom, great insights and which are conceptually compelling.

The book examines the difference in investor behaviour when it comes to investing in commodities. It is very important to get out at the right time. This chapter also provide a peek into ‘Prospect Theory’ which won Nobel Prize.

Corporations focus on continuity. All through my education on Investments Including Chapter 7 hereI have been led to believe in the superiority of Index Investing over investing through mutual cinance or direct purchase of stocks.


A good business bought expensive is a bad investment. I got answers to both these questions when I was reading the chapter on ‘Index Investing’ in this book.

To their surprise, the team found that the portfolio or rejects consistently outperformed the portfolio of new entrants by value investing and behavioral finance by parag parikh statistically significant margin! Kushagra Mittal rated it it was amazing Jun 19, Value Investing And Be Investors want answers to four questions. Value Investing and Behavioral Finance: Market oscillates between Greed and Fear Mr. Through this knowledge, company can predict impact of their decisions lets say Restructuring on the share prices of the company and decide if that kind of movement is acceptable.

In a way, this book’s style resembles the Taleb’s way of reminding again and again and again because it’s important. Chapter 8 discusses Sector Investing.

Value Investing And Behavioral Finance – by Parag Parikh – Google Books

Values are found in bear markets and IPOs are the product of bull market. Pranjal Kamra rated it it was ok Dec 13, Fundamentals deal with the returns from growth in earnings and dividends.

valuf May 04, Swaraj Yadav rated it it was amazing. Despite this well known fact, author finds it puzzling that those investors who did not get the allotment in IPO tend to buy it on listing, normally at a higher price, as if the stock is some hot target or something. Parag Parikh is an Indian entrepreneur and author.

If you buy a growth stock at a high price, you will not reap pparikh. And that is where this book comes useful. Please be moderate and constructive in your comments. In a way, he is communicating here that value investing opportunities are the product of behavioral aspects of people, operating in the market.

Value Investing And Behavioral Finance: Insights Into Indian Stock Market Realities

Also a very rare finding because very very few Indians have contributed to the field of behavioral finance. An investor who is aware of the decision making heuristics that he is using is a value investing and behavioral finance by parag parikh investor. Joben rated it it was amazing Mar 24, Value Investors should know the difference between the above concepts of value and only buy those companies that has good value in exchange which appreciates over time.


Himanshu Kapila rated it really liked it Jul 21, That is one heck of a list worth reading!!! Using investing trends in Indian capital markets over the last three decades, it shows how collective behavioral biases affect investment decisions, returns and market vagaries.

Deepak rated it really liked it Dec 22, The other beehavioral is that the basic cause of failure is our penchant for ‘Instant Gratification’. User Review – Flag as inappropriate The book provides an insight into finqnce aspects of investing which albeit very essential are overlooked value investing and behavioral finance by parag parikh many so called experts of the stock market.

On the behavioural aspect front, there are a lot of znd that actually more space in the minds of the investors than rationale stance on everything he hears and sees. The chapter analyses the behavior of various stakeholders in IPO market and come to the conclusion that the idea that IPOs are normally under-priced is incorrect.