Projecting

Projecting means estimating or forecasting on the basis of current trends. Trying to use the information that we have available today to explain why tomorrow will look a certain way.

The problem with projecting is that current trends are rarely an accurate indicator of what is going to happen in the future.

Just because a company has performed well for the last 50 years doesn’t mean they won’t go bankrupt tomorrow.

Smart investors know that the information they have available to them today is not perfect, and they take that into consideration when making plans for tomorrow.

Turkeys, on the other hand, wake up on Thanksgiving believing that it will end just as uneventfully as the day before.