We have to invest
We have some asset classes
We have some products within these asset classes
We have some risk measures for these products
We have some (many) strategies for each of these products
But there is always and ever only one bottomline……….. are we making money or not?
Yes, there are other variables like liquidity, cash flows, safety, time frame of investment, cycles of investing etc…which need to be considered along with many non quantifiable variables in our lives. The % of overall returns will vary based on these variables.
But, it always boils down to –
is this asset making money?
is this product making money?
is this strategy making money?
Bottomline matters