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Asynchronous Work & Effective Equity Duration (plus Reading Habits w/ Harley Finkelstein) (EP.215)

The Rational Reminder Podcast

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Is the Discount Rate Dominating Portfolio Returns?

Value and profitable stocks generally have shorter duration, but among short duration stocks, more profitable firms have longer duration. Among long duration stocks, value firms have shorter duration. Value investors are taking on that risk, which is why they expect to earn premium. Lower returns in vlue, gross stocks have lower returns in value because a lot of investors want to own gross stocks to hedge against stuff.

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