In your interest.
Online Personal Finance Magazine
No beating about the bush.
Financial theory says that the price of an asset should be the discounted value of the income it fetches over a period of time. But it is an impractical measure. How can you know what an asset will fetch, except a government bond? Also, traded assets like stocks can be volatile, fetching one price today and sharply lower or higher price in a few weeks – even when the earning power of that...