Tag: OS

  • What is the Internet of Things (IoT)?

    What is the Internet of Things (IoT)?


    You’ve already heard of smart devices, autonomous robots, and self-driving cars in some form or another. They are undoubtedly innovative, but they aren’t as clever as they seem. The biggest drawback of these smart devices is their limited ability to communicate with the outside world. A car can drive itself and avoid external obstacles, but it can’t decide when to pick you up or what kind of music you want to listen to based on how your day went at work.

    Consider how useful it would be if your wearable fitness devices could monitor your heart rate and the number of steps you’ve taken during the day, and then use the data to recommend workout plans that are specific to you. A system that uses an app to monitor statistics for future training and recommends diet plans. Isn’t that awesome? That, then, is the real-world application of IoT. Continue reading to learn more about IoT.

    What is IoT?

    In the internet of things, all devices are linked by a unique identifier known as an IP address. These smart devices are also equipped with sensors. They use their own sensors to collect data from the environment, and they work closely with other devices to do so. After that, the data is sent to central servers. The servers then store, evaluate, and process the data before sending instructions to the system to perform a particular task under certain conditions.

    Implications of IoT

    IoT can be applied to almost every aspect of human life. They can be used in healthcare, where data from IoT devices can help doctors determine the best treatment plan for their patients. It can also be used to avoid the disease by tracking it continuously. In the same way, it can be used in industries to power manufacturing devices and various types of equipment. In addition, IOT can be used in education to enable students to collect learning materials. They also allow teachers to monitor their students’ progress in real time. In this way, the Internet of Things plays an important part in our daily lives.

  • What Stock Market Basics Do You Need To Know?

    What Stock Market Basics Do You Need To Know?


    To succeed in the business of stocks, learning the stock market basics of the trade is essential. The stock market is a complicated game and knowledge is power when it comes to financial freedom.

    The decisions you make can yield unlimited earnings or completely break your budget. While there is some level of gambling involved in the stock market, an educated trader will ultimately achieve success.

    Prior to risking your hard-earned cash on the stock market, you need to recognize certain vital factors when deciding which company to invest in.

    Consider these stock market basics to learn more about the company you want to buy into:

    Check Out A Company’s Revenue

    What is the actual amount of money the company makes? This total amount is referred to as revenue. While young companies in their early stages of development may not have much revenue to offer, other companies who have been in the market for a long time may use their revenues to cover costs and losses.

    A Company’s Earnings Make A Difference

    How much money does the company make? This amount of money is called a company’s earnings. Beside revenues, earnings may be used to cover expenses. Earnings are the extra money taken in by a company. Because investors investigate the earnings made by a company they want to purchase stocks on, the companies with large earnings have a distinct advantage in the stock market.

    A Company In Debt Is A Bad Sign

    How much money does the company owe? Debt is the money owed by a company, which can be represented in many different ways. When a company is in debt, the money they have will be used to pay up the debit. It is risky to purchase stock from companies in debt because the company is unstable which could result in them declaring bankruptcy.

    A Company Should Own Property

    What does the company own? The assets owned by a company, including business, money and stocks, are referred to as property. When you are aware of a company’s assets, you can better ascertain their position in the industry. When companies have significant properties under their ownership, it is safer to trust their background. Often people will immediately buy stocks from companies holding a major amount of assets because they are more secure.

    A Company Should Show Financial Responsibility

    How much does the company have to pay out and what are their total financial obligations? Each company has different financial obligations. When a company has few financial obligations, they are in less danger of getting into debt. Examine the liabilities versus the assets of a company to determine their financial responsibility. A company should have higher assets than financial obligations.

    Gambling your money on a company you know nothing about is an unsafe and unwise decision. By simply reviewing the company’s background, you have all the stock market basics right at your fingertips.

    To make sure your money is in the right hands, do your research about the companies you want to invest in.

  • How Does Hindsight Bias Influence Investing Decisions?

    How Does Hindsight Bias Influence Investing Decisions?


    Since its top of 1881 in 2016, the Nepal Stock Exchange has been on a downward trend. The market dropped to as low as 1100, a drop of nearly 40% from its peak. Many investors lost a lot of money as a result of the devastating market meltdown.

    If we ask investors right now if they thought the market was going to tumble after 2016, many will say yes. However, at the peak, investors were more bullish on the market. The massive quantity of everyday turnover demonstrates this. The daily transaction amount was between 1.5 and 2 billion rupees.

    So, how does an investor’s opinion of the same event change? This is a psychological phenomena known as ‘Hindsight bias.’

    The tendency of people to perceive events as more predictable than they actually are is referred to as hindsight bias. In other words, it makes the past appear less predictable than it was. Things always appear more evident after they have occurred.

    Decision making is difficult prior to the occurrence due to a lack of information and foresight. However, looking at the available results after the event, the outcome appears more predictable.

    During the bullish era in our market, investors were uninformed of the oncoming market disaster. As a result, many people were highly involved in stocks. Some people predicted that the market would crash. However, no one was certain at the moment.

    However, after the market fall, investors believe that they were forewarned that the market would drop. With more information regarding the market crash becomes accessible, investors appear to be more sure about the event’s predictability.

    Why is hindsight bias dangerous in investing?

    Consider the following scenario: You are considering purchasing a stock called ABC. However, you do not purchase it for some reason. The price of ABC stock then skyrockets. What are your thoughts?

    The answer is that you are stupid. You kick yourself for squandering the opportunity. You are remorseful for not purchasing the stock when you realized it was a winner. You tell yourself, ‘I knew the stock would soar.’ This is what we mean by hindsight bias.

    So, what makes it dangerous? This is because you have made a promise to yourself that you would not make the same mistake again. You are more confident in your decision-making abilities, and you vow to seize the next opportunity. This is the danger that hindsight bias can cause. The next time might not be the same as the previous.

    Let’s have a look at another scenario: You consider purchasing a stock called ABC. However, you do not purchase it for some reason. The price of ABC stock then plummets. Now consider if you would have felt the same way in the first situation.

    No, it does not. You congratulate yourself on making a wise decision not to buy ABC stock. You knew the stock would decline, which is why you didn’t buy it in the first place.

    Why is the response different in these two cases? In an ideal world, the answer in both cirplusstances would be the same. In both cirplusstances, you made the same decision not to acquire stock ABC prior to the rise or fall in its price. However, after the event occurs, such as a price rise or decline, you change your reaction in accordance with the nature of the occurrence.

    This is risky because it gives you the impression that you knew it all along, giving you a false sense of security in your judgment. This can lead to overconfidence in your financial abilities and reckless decisions.

    How do you prevent falling into the Hindsight Bias trap?

    Several behavioral experts have recommended producing a list of everything that was considered when making the decision. This could be a good plan. We will know what our thought process was at the time of decision making if we make a record of the reasoning behind our decisions. We cannot change our statements after the event has occurred. This will aid us in making an accurate assessment of our abilities.

    Investors may not consider hindsight bias as a concern. However, it may lead you to make decisions based on your perspective rather than facts.

    In conclusion

    In our daily lives, we experience hindsight bias. Whether it’s investing, gaming, exams, or anything else, the outcome makes us feel much more confident in our abilities. If Real Madrid beats Sevilla, we’ll tell ourselves and others that we knew Madrid was going to win. Similarly, if the stock/real estate price is rising, ‘I knew it’ comes into play.

    Even if it hasn’t caused any immediate harm, it can make you overconfident, causing your next bet to be more illogical. Real Madrid won, but the outcome might be different the next time. Past events cannot be utilized to predict the future completely. Information and strategies evolve in tandem with the passage of time.

    As a result, it is preferable to treat each possibility as new and base your judgment on facts. The past appears to be easy to anticipate, yet this is not the case. It is a hallucination that arises following the occurrence of the result. As a result, it is preferable to stick to your investing ideas and tactics.