How Ego Can Ruin Your Investments without You Realising It
How ego silently hurts investors—and how to protect your money with wisdom (and a little self-respect).
Bunny ka dimaag garam tha… par portfolio thanda!
It was 09:15 am on a Sunday.
Bunny came to my farmhouse with the energy of a broken fan.
He slammed his phone on the table, “Uncle! My Mutual Funds are down 28%! Mere matlab, Bunny ke Mutual Funds neeche kaise ho sakte hain!”
I took a calm SIP of chai and asked, “Toh problem Mutual Funds ka hai, ya ego ka?”
Bunny paused. Confused. “EGO?”
I smiled. An Investor’s enemy had entered into the head of Bunny.
Meet Bunny – Our Hero.
Bunny, like most of us, is not stupid.
He’s smart, ambitious, and dreams of early retirement on a beach or Himalayas.
But there’s one thing more dangerous than stock market crashes.
Ego – woh cheez jo investor ko DATA se zyada apne gyaan par bharosa karna sikha deti hai.
And today, Bunny’s ego was bleeding more than his stocks.
“Uncle, mujhe lagta tha mujhe sab aata hai…”
Bunny began narrating how he had:
Ignored his advisor’s advice
Watched 14 YouTube “experts”
Invested in an over-hyped Sectorial Mutual Fund
Refused to exit even after a 20% fall in few of his investments
Told himself: “Market ko kya pata, main sahi hota hoon hamesha (I am always right)!”
I nodded. “Bunny, kuch saal phehle tak mujhe bhi yahi lagta tha ki jo main bolunga stock market waisi chalegi.…”
He smiled faintly. “Phir kya hua?”
“Fir main sikh gaya, In the stock market, those who enter with money gain experience, and those who enter with experience gain money.”
Step 1: Identify the real enemy
I told Bunny, “Fear aur Greed toh tum samajh gaye ho last blog mein. (Remember?)
‘Fear’ in Investing: How to Stay Calm and Invest Smartly
How Greed Destroys Your Investments (And Peace of Mind)
Par Ego?
Woh toh khud ko Bhagwan samajhne ki bimari hai.”
“Ego says: I know everything.
Wisdom says: I’m ready to learn and I know nothing.”
Step 2: The 3 Ways Ego Destroys Your Investments
1. Confirmation Bias – Sirf wahi dekhna jo tum mann me maan chuke ho
Ego doesn’t want to be proven wrong.
2. Refusing to Exit – ‘Main galat ho hi nahi sakta!’
He held on to losses, not for strategy—but for self-respect.
But Bunny, respect se zyada zaroori hai returns and safety.
3. Overconfidence – ‘Main hi BIG BULL hoon’
Bunny had watched a few videos and thought he cracked the market.
Investing is not a Trophy winning game. It’s a lifelong journey.
Step 3: The Anti-Ego Plan (Uncle’s 5-Minute Formula)
1. Have a written reason for every investment.
If you can't explain why you bought it, you shouldn’t have bought it.
2. Set your exit plan before entry.
Ego hates to Exit at a Loss. But your future will love it.
3. Talk to someone you trust.
Not an echo chamber. A real voice who says, “Yeh galti lag rahi hai, Bunny.”
4. Write-down your decisions.
Not for the world. For your humility.
5. Read your old mistakes.
Because ego forgets. But wisdom remembers.
Bunny’s Transformation
Yesterday, Bunny came back. Calm. Smiling.
“Uncle, I have read the offer documents carefully of that Sectorial Mutual Fund. I have understood and is ready for long term patience.”
I nodded, “Waah! Bunny.”
He laughed, “Uncle, bas apna ego side mein rakha. Long Term Investing karni hai, kissi ko impress nahi karna.”
Aapke liye bhi yahi plan hai, my dear reader
You don’t have to be perfect.
You just have to be honest—with yourself and your money.
Let go of the need to always be right.
Hold on to the need to always be wise.
Markets will rise, fall, and confuse.
But Ego?
Woh chupke se aata hai, aur silently loss karwa ke chala jaata hai.
Investing is not a fight. It’s a partnership—with patience.
If Bunny can learn to park his ego outside the portfolio, so can you.
"Market ko harana hai toh pehle apne ego ko harao… nahi toh market tumhara ego nikaal dega!"
Liked this story?
Felt a little lighter, wiser, and maybe even laughed?
Hit the Subscribe button.
Or forward this blog to that one friend jiska ego bhot uppar hai.
Also, read our past blog if you haven’t yet:
Fear in Investing: How to Stay Calm and Invest Smartly
Until next Sunday, 09:15AM,
Stay wise, stay humble — Investing Uncle.
Hope this blog adds real value to your long-term investing journey.
If YES, Maybe you treat Uncle with a cup of Tea?
Disclaimer: Mutual fund investments are subject to market risks, read all scheme related documents carefully before investing. The past performance of the mutual funds is not necessarily indicative of future performance of the schemes. Investors are requested to review the prospectus carefully and obtain expert professional advice with regard to specific legal, tax and financial implications of the investment/participation. This blog/Website is for Educational purpose only. Any reference should not be treated as any form of Financial Advice.
Any person referred to in this post is purely coincidental. The characters, names, and situations mentioned are for illustrative and educational purposes only and are not intended to represent any real individual.
‘Investing Uncle’ is NISM Series V-A Certified (Mutual Fund Distributor’s Certification Examination) conducted by National Institute of Securities Markets (NISM)
Investing Uncle is not SEBI/AMFI Registered.