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Investing Glossary:
Value additivity principal
Copyright 2009,
Campbell R. Harvey. All Rights Reserved.
Do not reproduce without explicit permission.
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| Term: |
| Value additivity principal
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| Definition: |
| When the value of a whole group of Assets exactly equals the sum of the values of the individual assets that make Up the group of assets. Or, the principle that the Net present value of a set of independent projects is just the sum of the net present values of the individual projects.
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