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Article. What is a Fair Investment Assumption?

The Synopsis

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Understanding Investment Assumptions and Falsifiability

This chapter explores the intricacies of developing a robust investment thesis, stressing that effective assumptions should be relevant but minimally informative. It also discusses the potential pitfalls of allowing personal financial desires to skew assumptions, connecting this to Karl Popper's theory of falsifiability to underscore the importance of testable hypotheses in investing.

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