This is the belief that you own a “winner” and you will keep that winner for reasons that aren’t justified by the return. Owning companies is fun, and investors like to celebrate their victory over the market by stashing great
Loss aversion is the tendency for people to strongly prefer avoiding losses at the detriment to obtaining gains. This puts an unnecessary fear on an investment not supported by the risk prima. This might be one of the most common
Everyone has heard a mantra about first impressions and their lasting impact. That works for investors too. Because our brains thrive on recognizing patterns and the relationship one element has with another. This mental phenomena is called anchoring. This want
You read that right, there is simply too much cash in the capital markets to not see a handful of effects that could impact your investments and plan. The supply of money floating around is massive right now. There is
Cash flow is for us the best leading indicator of the success of a business or a personal balance sheet. Cash flow math is simple, revenue (income) minus outflow (expense) equals cash flow. This amount in surplus to outflow allows
Future value (FV) is the value of a current asset at a future date. It is useful for extrapolating the expected return on an asset. The math uses an assumed rate of growth. For investors and financial planners the use
The present value (PV) is the current value of all future sums of money or stream of cash flows given a specified rate of return. Future cash flows are discounted based on the time value of money referred to here
What are the best investments for dentists? You’ve invested in your education, in your practice, and in your staff, but how do you make investments for yourself to ensure the health of your personal retirement and practice? These are the
Taking the time to build your education and skill is important regardless what profession you are in. Of course, some of these take more outlay than others. Becoming specialized in a field is something dentists understand well. Financial advisors are
We are a firm that believes the majority of a client’s ability to generate wealth happens from decisions made outside of their investment portfolio. However, we take our role as active managers seriously and have developed a fundamentals-driven process to
