One of the most powerful forces in investing isn’t inflation, interest rates, or earnings reports.
It’s cognitive dissonance: the mental discomfort we feel when reality challenges what we want to believe.
We don’t talk enough about the damage this mindset can do to our portfolios.
You invest in a stock. The fundamentals shift. There may be a better opportunity available, but you turn a blind eye to it.
Instead of adjusting, you rationalise. You hold on. You double down.
Not because it’s the best decision, but because it protects your ego.
This psychological blind spot is known as a psychological scotoma, referring to turning a ‘blind eye’ to inconvenient truths.
The most dangerous phrase often follows: “This time it’s different.”
But Markets don’t care about your conviction. They reward those who adapt, not those who defend outdated beliefs.
Smart investors don’t just analyse data.
They analyse themselves.
Ask yourself:
🧠 What belief am I holding on to that no longer serves me?
📉 What facts am I resisting because they don’t align with my narrative?
Are you also holding on to such investments, not because they make sense, but because they once did?
🧭 That’s why having a trusted personal finance professional by your side isn’t optional, it’s essential. Not only to build the right portfolio, but to ensure your decisions remain aligned with long-term goals when it matters most.
Vikas Sharma, CFP®, is a first-generation purpose-driven entrepreneur with over 19 years of experience in financial services, personal finance, and the advisory space. He is a Certified Financial Planner, an IIM Calcutta Executive Alumni, and holds an MBA in Finance and a Postgraduate qualification in Financial Planning.
Currently, Vikas is the Co-Founder & CEO of The Logical Advisor (TLA Academy Pvt. Ltd.) and Goalchi Capital Solutions LLP, where he integrates life, purpose, values, and money to create meaningful financial journeys.
He has worked with a leading Asset Management Company, mentored 1,500+ IFAs and Relationship Managers across India, and educated 10,000+ investors through Financial Wellness programs. His work has consistently focused on reshaping advisor and investor behaviour to enable sustainable success.
Vikas also coaches and mentors financial advisors nationwide, helping them build purposeful and successful careers.
