entry accounting is the system in which every financial transaction is recorded in at least two accounts — a debit and a credit — so that the accounting equation (assets =...
The core idea
entry accounting is the system in which every financial transaction is recorded in at least two accounts — a debit and a credit — so that the accounting equation (assets =...
Connected
Barbell Strategy
at extremes of safety and risk, avoid the mediocre middle.
Circle of Competence
have an edge in some domains and not others — and the boundary between the two i
Discounted Cash Flow
equals future cash flows discounted to present value.
Margin of Safety
below intrinsic value to protect against errors and the unforeseen.
Arbitrage
is profiting from a price difference for the same or equivalent asset across mar
Asymmetric Upside
upside is a payoff structure where the best-case gain is large relative to the w