Behavioral Finance

Samuelson & Zeckhauser (1988) showed that decision-makers stick to existing options far more than rationality justifies. AMFI / SEBI data shows roughly half of equity MF AUM is still in Regular Plans 13+ years after Direct Plans launched. This post unpacks the bias, gives a structural fix, and uses Titan Biotech FY25's audited numbers to illustrate corporate anti-status-quo discipline. Educational case study only — not investment advice.

Interest Coverage Ratio (EBIT/Finance Costs) is the 30-second solvency filter every Indian value investor must know. Titan Biotech FY25's ~₹3 Cr borrowings, ₹11 Cr internally funded CWIP, and 103% CFO/Operating Profit illustrate what fortress-coverage looks like in numbers.

Free Cash Flow Margin = (CFO − Capex) ÷ Revenue. Titan Biotech FY25 audited CFO/Operating Profit 103%, ₹3 Cr borrowings, ~₹214 Cr revenue — educational illustration of disciplined cash generation.

Regret aversion — the dread of taking a decision that will look like a mistake in hindsight — explains why Indian retail wealth stays parked in low-real-return FDs while equity SIPs deliver 14–16% CAGR. This article unpacks Bell (1982) and Loomes-Sugden (1982) regret theory, the Indian retail manifestations across SEBI/AMFI data, six structural counter-measures, and an illustrative case study of how Titan Biotech FY25 audited numbers (₹3 Cr borrowings, 103% CFO/Operating Profit, 36.4% independent board) demonstrate anti-regret process discipline at the corporate level.