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Next-Generation Value Investing for 2026 and Beyond

Somewhere around 2020, a strange idea took hold in the investing world: value investing is dead. Growth stocks had outperformed for over a decade, Tesla was worth more than all legacy automakers combined, and anyone who mentioned price-to-book ratios at a cocktail party got the same look you give someone who insists on using a flip phone. Clearly, the thinking went, buying cheap stocks based on old-fashioned accounting metrics was a relic from the pre-internet era.

Index Funds vs Stock Picking: The Definitive Guide

Every investor eventually faces this fork in the road. Buy a cheap index fund, automate contributions, and go live your life. Or roll up your sleeves, study businesses, read financial statements, and try to beat the market by picking individual stocks. Both paths have produced millionaires. Both have produced regret. The difference is not intelligence or luck – it is honest self-assessment about what you are willing to do, how much time you actually have, and whether your edge is real or imagined.

What Actually Causes Financial Crises

Every financial crisis feels like a surprise. Every single one. And then, six months later, everyone says “it was obvious.” The 2008 meltdown, the 2020 COVID crash, the 2023 banking scare – each time, the post-mortems reveal the same ingredients that have been causing financial disasters since the Dutch tulip bubble. The recipe has not changed in 400 years. What changes is the packaging. So let us unpack the recipe, because understanding it is the single most useful thing you can do for your portfolio before the next crisis arrives. And it will arrive.

Welcome to PascalFi

Welcome to PascalFi.

This blog is built around a simple idea: investing decisions should be driven by data, not emotion. Named after Blaise Pascal, whose work on probability theory changed how we think about uncertainty, PascalFi applies quantitative thinking to practical investing.

Herd Mentality in Investing: How to Avoid the Trap

Herd mentality in investing has destroyed more wealth than any market crash. Not because crashes themselves are that devastating – they recover. But because the crowd rushes in at the top and panics out at the bottom, turning temporary drawdowns into permanent losses. If you have spent any time on Reddit WallStreetBets, TikTok finance, or crypto Twitter, you have seen this cycle play out in real time, compressed from years into weeks.

7 Common Investing Mistakes That Destroy Returns

Common investing mistakes destroy more wealth than bad markets ever will. The S&P 500 has returned roughly 10% annually over the past century, yet the average individual investor consistently earns far less. Not because the market is rigged. Not because they lack access. Because they keep making the same preventable errors, year after year, cycle after cycle.

The Power of Compound Interest Over Decades

Here is a number that should keep you awake tonight: one dollar invested in 1964 at a 23% annual return would be worth over $229 by 1987. Not because of some genius stock pick or insider tip, but because of compound interest doing what it does – quietly, relentlessly multiplying your money while you sleep. Now extend that logic to 2025 and the numbers become almost absurd. Compound interest is the single most powerful force available to any investor, and the best part is that it requires no special talent. Just patience and the discipline to not touch your money.

Margin of Safety: The One Rule You Cannot Break

Margin of safety is the single most important concept in investing, and most people ignore it completely. They see a stock going up, they read a headline about record revenue, and they buy at whatever price the market is offering. Then they wonder why their portfolio looks like a crime scene six months later. The idea is brutally simple: never pay full price for anything. Buy assets for significantly less than they are worth, and you give yourself a cushion against being wrong. Because you will be wrong. The question is whether being wrong destroys you or just mildly inconveniences you.

Why Value Investing Still Works in 2025

Value investing still works in 2025, and honestly, it might matter more now than ever. While everyone around you is chasing the next AI stock or refreshing their crypto portfolio every five minutes, the people who quietly buy good businesses at fair prices keep winning decade after decade. Not because they are smarter. Because they are more patient.

PascalFi

PascalFi explores the intersection of quantitative methods and practical investing. Named after Blaise Pascal, the mathematician who laid the groundwork for probability theory, this blog applies data-driven thinking to investment decisions. The art …

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