Let’s discuss each of these heads (emotions) in depth with regards to financial investments.

Kama (Lust) – it’s a strong, passionate emotion or feeling for things. When we talk about lust with regards to financial investments, it’s all about making short term profits. While we lust for profits we completely tend to overlook the logical and practical approach towards an investment product. For Eg. : Many investors contact us to get the next biggest multibagger – just based on few stock examples investors look for next multibagger but fail to understand that finding a multibagger actually takes lot of effort, understanding of business and continuous follow up on the business.

Krodha (Anger) – Though everyone experiences anger or resentment against a particular thing or event, if not controlled or vent out in proper manner may hamper the decision making process of the person. One may have invested in a product which turns out to be complete disaster, the person carries this anger all his life and avoid investing in the similar products even when market seems to be favoring/ expert recommending to invest. Investing in a single stock or sector is risky if at any time the market crashes or some news particular to that sector comes. Rather investor should invest in stocks from different sectors or Mutual Fund to avoid such experience and keep the diversified portfolio to minimize the risk.

Moha (Delusion) – delusion is having biased mindset, delusion needs to be controlled. If one gets biased towards fixed deposit that it is safe and get good returns, may risk the opportunity loss of mutual funds which can earn better returns comparatively. For Eg. Biased mindset is the biggest loss for the untapped opportunities in the market. Mutual Fund investments give the fair return even when there is downfall in the stock market.

Lobha (Greed) – an insatiable want for something which is not needed. With regards to investments, its accumulation of shares and unwillingness to sell it at right time. For eg.:- One may have invested in XYZ companies shares which may have outperformed over a period of time. However, the company may have reach to its saturation point and holding on to it would not be a wise decision.
There is always a point of saturation where there is no movement in the stock & that time is the peak time when investors should book the profit and invest in another instrument.

Mada (Pride) – is positive emotion but needs to be kept under check, as there is very thin line between pride and ego. One should always remember that pride should not get into one head which may in turn lead to ego. When any of your investment product outperforms, definitely give a pat to your back, but avoid developing “I know all” attitude.

Matsar (Envy) – Envy should be used to learn rather than just earn. When you see your friends doing better than you in their investment styles then rather to get envious it is better to learn and take advice. Also don’t try to imitate the same investment strategy as it may not work for you. Financial goal planning and Risk appetite of an individual are the most important factor to make an investment decision. Meeting the right advisor will help you overcome this envy.

Manas (The mind) – has multiple thoughts within fraction of seconds and one cannot exercise much control on it as its basic human nature. However one can make a sound decision based on facts and research rather than taking impulsive decisions. Analyzing the situation in correction or bull market is suggested rather than taking decision in an impulsive manner.

Buddhi (Intellect) – helps to take decision with analytic approach. Hence, it’s very important to take advice or use other available resources for investment purpose.

Chitta (Will) – the journey of any action begins with a will. Willingness is the most important factor for a person to start investing in order to create more wealth to achieve future financial goals. People still follow the old approach of investment like Bank FD’s & R.D’s etc. whereas there are many other better return giving opportunities underlying in the market.

Ahamkara (The Ego) – ego is person’s self-perception, which needs to be kept under check. Market gives lots of opportunity for investment to earn better returns. But to search for the best opportunity is the analytical task. This should be done on factsheets & from the advice. Ego can drive you to wrong investment & will ultimately disappoint you. While it is impossible for a human not to experience any of these emotions mention above, but it is always advisable to exercise control over these emotions and have more of analytical approach before making an investment decision in order to earn desired profit and returns.