4 ms·
> unless you're liquidating immediately after you receive a grant then you're adding another variable into the mix of things that need to go right. Why aren't
by akavi 8y ago
> unless you're liquidating immediately after you receive a grant then you're adding another variable into the mix of things that need to go right.
Why aren't you liquidating immediately after you receive a grant? Why would you choose to doubly leverage on your primary source of income, and, as you accurately point out, add another source of risk?
- underwater 8y agoLiquidating is the rational action, but people are not always rational. Consider the two outcomes from selling stock early: - The company tanks. You maybe retained some of the value of your stock, but you're still on a sinking ship. - The company takes off. Thanks to loss aversion you feel like you lost money that is rightfully yours. And your idiot co-worker who held just turned up for work in a supercar.