Investing

Long-Term

Long-Term There’s an old joke on Wall Street that investors like to say that they invest with a long-term mindset.  It’s just that long-term means only until the next bear market. Stock is a claim on a company’s assets and future earnings.  There are a bunch of different ways to estimate what a stock is worth, but part of the input is going to be an estimate of future earnings.  This sort of thing is fascinating because obviously we don’t know what the company’s future earnings will be.  We can only guess.  Looking at a company like Tesla, it seems that the market has been pricing in strong growth for several years.  A company like Apple might have a less volatile stock price because the earnings are more consistent and easier to model.  If the cost of a component in an iPhone goes up, analysts can adjust their expectations relatively…

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Do It Yourself or Visit the Barber?

Feed your kids when they are hungry.  Clean your kids when they are dirty.  That’s all that should be written in stone when it comes to parenting and even that cleaning them thing is not necessarily correct 100% of the time (I was the kid that would go straight back to the creek after getting hosed off for lunch).  There are tons of books about child-rearing, many of which conflict with each other.  They are not necessarily written to help parents make decisions so much as to make them feel a sense of control.  “Do this, don’t do that” – it all goes out the window under live action.  Kids do not understand where the boundaries of life sit.  They don’t “think outside the box” because they haven’t registered the existence of the box yet.  Any action is a viable option at any given time. My wife and I got…