WHEN to Invest? Investing at the Right Moment...

Net Present Value (NPV)
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Joao Stoltz
Project Manager, Sweden

WHEN to Invest? Investing at the Right Moment...

I have done a NPV calculation for an investment option. The problem I'm thinking about is not IF I should invest, it is WHEN to invest.
Its weird to make a calculation on a 10 years basis for option 1 (invest now) and compare it with option 2 (invest in 3 years time) for the same period, because it will inevitably give a lower NPV (I am only getting 7 years (6 really) of positive contributions to NPV and 3 initial years where nothing happens...

 

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Net Present Value (NPV)
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