Market Efficiency
Understanding Market
# A Rising Market Does Not Always Become a Better Investment When the stock market has delivered strong returns for many years, it becomes easier to believe that […]
Archive
Reader level: Basic
Market Efficiency
Stocks vs Infaltion
Do Stocks Really Protect Investors from Inflation? In Chapter 2 of The Intelligent Investor, Benjamin Graham explains why investing in stocks is not an automatic solution to inflation. […]
Behavioral Finance
What Kind of Investor Are You?
Benjamin Graham’s first chapter in The Intelligent Investor gives a very interesting explanation of what investing actually is and the mindset we should bring to it. To sum […]
Behavioral Finance
Fuled by Randomness
📘 Fooled by Randomness — Nassim Nicholas Taleb🎯 Core Idea🎲 We systematically confuse luck with skill📉 Randomness explains far more success and failure than we admit🧠 We invent […]
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 […]
Risk
Sharpe Ratio
It is generally believed that an investment portfolio is better constructed the higher its Sharpe ratio (Sharpe Ratio – William F. Sharpe). The Sharpe ratio describes the relationship […]
Risk
A+B = (A+B)
Should an Organization Diversify into Different Business Areas? This question is crucial because one of the fundamental principles in financial theory is the principle of value additivity, which […]