Availability Bias

  The availability bias is one of the most frequently overlooked and misunderstood cognitive biases that plagues investors. When investors fall prone to the availability bias, they overweight the most easily accessed and digested information. For example, a few months ago my uncle messaged me about a stock idea after reading a financial periodical. His […]

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Revenue, Gross Income, and Net Income

Oftentimes the terms revenue, gross income, and net income are incorrectly used as synonyms. While all three are related, they are different in what they mean and their function for an investor to make informed decisions. Imagine a T-shirt screen printing company, Bob’s T-shirts. The business purchases shirts in bulk and can screen print shirts […]

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