For What It’s Worth

Res tantum valet quantum vendi potest

This is a Latin quotation which translates to: “A thing is worth only what someone else will pay for it”

I have this quote posted on my wall upon the advice of Burton Malkiel in A Random Walk Down Wall Street. I am attemting to sell condos this weekend, so I must keep this in mind.

Blog posted on: March 12, 2005

3 comments on “For What It’s Worth

  1. Cap

    good luck with the condo sells.. let us all know how u do. a part of me is interested in getting that going too.. hmm

  2. Zarathustra's Son

    The quotation isn’t always true.

    For example, in a property crash the buyers might only be willing to pay substantially less than the present value of the net income stream those condos would produce.

    The worth of an asset and the price of an asset may well diverge, for example due to imperfect information or high transaction costs.

  3. Ted

    “Quid latine dictum sit, altum videtur.”

    Hi Neville,
    If you are only going to hold funds from a particular company in your Roth (e.g. vanguard funds or fidelity funds) then the cheapest way is to open the IRA directly through them. However, I don’t like being locked in like that (a vanguard IRA chares $35 per trade of a non-approved fund) so I recommend BrownCo, which offers $5 trades. You shouldn’t be doing much trading in an IRA anyway, so $5 is chump change.

    Also, if you haven’t filed your taxes for 2004 yet, you can make both a $3k contribution for 2004 AND a $4k contribution for 2005 at the same time. Or wait until later in the year for the 2005 contribution.

    (Latin translation from above: “Anything said in Latin sounds profound.”


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