Just wondering if other people on HC consider the Time Value of Money (TMV) when making investment decisions?
The time value of money (TVM) is the concept that money you have now is worth more than the identical sum in the future due to its potential earning capacity.
The derivative of this is that an asset worth $X in the year 2025 is actually worth less than an identical asset worth $X in the year 2020. So if the value of your assets are going sideways over time, you are effectively losing money (because you are losing time and time = money.
Just wondering how many others take this into consideration when making investment decisions?
