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| Deere6 - 4/18/2026 11:33
So you are telling me a guy could be building massive amounts of assets, cash and wealth, even though this fancy way of accounting says he is losing big money? If so it has to be the first time smart methods on paper don’t match physical reality…. Most growth stocks work in similar fashion. Can’t rent them out, can’t eat them, can’t flush a covey of quail off them. Don’t produce dividends. So as long as you own them, you’re incurring opportunity cost. Can’t capture the gain without selling. Can do a SBLOC though. Which is borrow the equity out and pledge the securities as collateral. This is a strategy the ultra wealthy employ. Works fantastic to die with the loan outstanding. | |
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Cash, accrual, opportunity cost, accounting.
