I will not sell this stock with a loss. I will wait till I get back my capital.’ `If I ever sell this gold, I will buy another jewellery set.’ `I cannot sell this property . It is where I grew up.’ `I love keeping so much money in savings account as it gives me a sense of security .’ These are common phrases we come across when planning people’s investments. A recent TV ad shows how a person is attached to his car and unwilling to sell it, though it has become old, as it is his first car. This shows that every logical decision needs to pass the test of emotions before it is finally taken. From an investor’s perspective, it is usually seen that he tends to develop an emotional connect with every asset class he has invested in. This makes him hold on to that investment whether or not it makes financial sense. Let us have a look at various asset classes and products and the investor’s emotional angle to each of them.
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