Sunday, March 23, 2014

Realising intrinsic value

When investing in shares on a stock market, the actual value of a company's share, which may be the same as or different to the market value is referred to as the intrinsic value. The market may over or under-value a share but this does not change the intrinsic value. I am not going to confuse you with stock market jargon, and this article is not about shares and investments at all so do read on. In the investment world, value is relative and not absolute most of the time. Interpretation of value is internal to the buyer and cannot be accurately set or standardized, hence different values for a similar item. As art is a form of investment, when a WITS University student used her pocket money to buy the Jane Alexander sculptor "Untitled" for a few hundred rands more than 25 years ago, she had no idea that this artwork would reap her an unimaginable return while simultaneously making Jane the highest selling living artist in South Africa. If one is to look at the piece of art, they may not see the R5.5 million value someone actually paid for it, but to the buyer, it was worth every cent paid. The old adage says beauty is in the eye of the beholder and this is exactly how it played out in this case. This is much the same with every human being. Beauty, let alone value, is never a standard measure equally recognized and appreciated by all we cross paths with. Our inner value is only revealed when we meet with the right people who can see it deep within us. We all are valuable in varying degrees and people see our value differently. To some I am worth nothing and to others I am priceless. The important thing to know is that I am valuable. Sometime back we started out worth just a few hundred dollars in life, undeveloped, unrecognized with little accomplishments. But as we find ourselves and work on our dreams, nurturing them with passion and patience, our intrinsic value slowly increases in the eyes of more and more people. Let us therefore hold on to our dreams until the right time and act on them as we blossom to our full potential and value. Just like the owner of Jane Alexander's artwork held on to the painting until the right time and benefited from not letting go, we should not let go of our dreams but hold on and act on them in due season while realizing our intrinsic value.