Widely read:
Over the last 22 years of my career, the most invaluable lesson I have learnt is to have an investment philosophy and then stick to it regardless of whatever happens in the stock market. Investors should study the past track record of the markets, study their own capabilities and find out whether they can identify an approach to investment that they feel comfortable with and which comes naturally to them. Reality is that there can never be any philosophy which would work at all times. There would be times when your core philosophy underperforms and there would be times when it outperforms. Especially during times when one is underperforming, it is important to keep in mind that markets change their narratives and reward or punish the same sector at different points in time. At such times rather than feeling frustrated and capitulating close to the bottom, an investor should look up to the investment philosophy as the North Star and just keep the faith. I strongly feel that if you stick to your knitting, you can emerge as a successful investor in the long run. As Warren Buffett said, as an investor, what matters more is your EQ rather than your IQ because it is your EQ which makes you stay emotionally stable when the chips are down.
This article was originally published on July 26, 2022.
New episodes every Friday 
