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Category: [:en]Investor Psychology[:]

Investor Psychology

3 KPI’s For Factory Based Business

The most inefficient factory is the one where every machine and worker operates at full capacity…Yes, it’s counterintuitive. A stopped machine or idle worker should logically signal inefficient […]

May 4, 2025 Basic
Market Efficiency

Estonian Model Impact on CF

We are setting up Executive KPIs in a company, and during the process, the task arose of calculating WACC and assessing its impact on the organization’s value. Typically, […]

March 25, 2025
Market Efficiency

Dividends Irrelevance

Does it matter if you purchase an Income stock or a Growth stock? Does a company’s decision to distribute dividends or reinvest earnings impact the stock price? The […]

December 22, 2024
Market Efficiency

CAPM Pitfalls-1

If you plan to profit from investing in stocks, take a close look at this graph. The graph highlights two significant phenomena that the Capital Asset Pricing Model […]

December 22, 2024
Market Efficiency

CAPM Pitfalls-2

Regardless of the level of diversification, why is it more rational to invest in a low β portfolio than a high β one? The issue is that CAPM’s […]

December 22, 2024
Market Efficiency

Management Incentives

One important reason why around 60% of global stock market capitalization is concentrated in the United States is well illustrated by the chart below. In the U.S., top […]

December 22, 2024
Market Efficiency

New Plant

Why Do Established Business Models Often Get Disrupted by Newcomers Rather than Market Leaders? Nokia had the idea and even a tested prototype for a touchscreen long before […]

December 22, 2024