“Price is what you pay, value is what you get” – Warren Buffett
In the last post, as we studied the Aerion AS2, we found out how
Hypernomics could help avoid losses.
Someone asked me how Hypernomics could be used to make money. A stock fund is one good example.
Value analysis is a critical component of this new discipline. As Mr. Buffett is quick to point out, we need to distinguish a product’s price versus its value. In today’s red-hot real estate market, an underpriced house would be sniffed out by anxious buyers quicker than a drunken gazelle tripping into a bar full of lions. Comparable sales of several homes sold down the street take care of that.
Stocks are more complex. With hundreds of financial metrics for each company and thousands of competitors, it is easy to get lost in all the data. Hypernomics sorts through that information to find and buy undervalued stocks.
Below are metrics comparing how we’ve done since we began trading with our algorithms nearly a year and a half ago, all growth-indexed from the same starting point beginning 2/20/2020.
This fund is not open to the public.