The Sunk Cost Fallacy: Why Indian Investors Refuse to Sell Their Worst Stocks and How This Silent Wealth Destroyer Makes You Throw Good Money After Bad — The Complete Value Investor’s Guide to Breaking Free From the Most Dangerous Decision Trap on Dalal Street

Article hero: title 'The Sunk Cost Fallacy' with subtitle; 2x2 color grid labeled Lucky, Disciplined Investor, Confused, Bias-Trapped.

📅 Published April 12, 2026 (Saturday) Table of Contents Toggle The Most Expensive Words in Investing: “But I’ve Already Put So Much Money Into It” What Exactly Is the Sunk Cost Fallacy? How the Sunk Cost Fallacy Manifests in Indian

Fixed Asset Investment

Bar chart titled Fixed Asset Investment showing FY20–FY25 values (28, 26, 22, 18, 14, 11); FY25 bar is green.

When Warren Buffett evaluates a business, one of the first things he examines is how management deploys capital into productive assets. A company that consistently invests in expanding its manufacturing capacity — and then converts that capacity into revenue —

Discounted Cash Flow (DCF) Valuation for Beginners: The Step-by-Step Method Warren Buffett Uses to Calculate the True Worth of Any Stock — How Every Indian Investor Can Master This Timeless Valuation Tool to Find Undervalued Multibaggers in 2026

Bar chart of DCF valuation by year (FY20–FY25); FY25 bar is green at 16, while FY20 38, FY21 32, FY22 26, FY23 22, FY24 19.

📅 Published April 12, 2026 (Saturday) Table of Contents Toggle Why Every Serious Investor Must Learn DCF — The Language of Intrinsic Value The Core Philosophy Behind DCF: A Business Is Worth Its Future Cash Building Block #1: Free Cash

The Disposition Effect: Why Indian Investors Sell Their Winners Too Early and Cling to Losers Too Long — The Behavioural Bias That Quietly Destroys Wealth on Dalal Street and the Complete Value Investor’s Antidote for 2026

Infographic showing four labeled boxes: Lucky (gray, top-left), Confused (light gray, bottom-left), Disciplined Investor (green, top-right), Bias-Trapped (orange, bottom-right) on a dark blue background with the title 'The Disposition Effect' above.

📅 Published April 11, 2026 (Saturday) Table of Contents Toggle Why Do Indian Investors Cling to Their Worst Stocks and Dump Their Best Ones? What Exactly Is the Disposition Effect? The Psychology Behind the Trap Why the Disposition Effect Is

Mohnish Pabrai’s Dhandho Investor Framework: The 9 Principles That Built a $1 Billion Fund with ‘Heads I Win, Tails I Don’t Lose Much’ — How Every Indian Value Investor Can Apply This Gujarati-Rooted Low-Risk Playbook to Find Multibagger Opportunities on the BSE and NSE in 2026

Bold headline: Mohnish Pabrai’s Dhandho Investor Framework with a subtitle about principles of value investing; dark blue hero background with green accent lines and a color-block grid below showing four labels: Trader, Compounder, Drift, Speculator.

📅 Published April 11, 2026 (Saturday) Table of Contents Toggle Why Mohnish Pabrai Matters for Every Indian Value Investor Principle 1: Invest in Existing Businesses, Not Startups Principle 2: Invest in Simple Businesses Principle 3: Invest in Distressed Businesses in