AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Duration of Cash Flows and Modern Portfolio Theory
The chapter explores the concept of duration of cash flows, distinguishing between short and long duration assets based on payback periods and discount rates. It discusses modern portfolio theory (MPT) development, risk-adjusted returns, and the evolving perspective on dividends in investment. Emphasis is placed on the importance of total return analysis over share price performance and the changing investment landscape towards tech companies paying dividends.