# stocks to invest in

The Trillion-Dollar R&D Fix » Reprint: R1205D How does a company know what kind of return it’s getting from R&D? Is it better at R&D than the competition? How much should it be spending and what can it do to improve the effectiveness of those investments? Existing measures of R&D effectiveness don’t answer any of those questions. In this article Anne Marie Knott, a professor at Washington University’s Olin School of Management, presents a new metric for R&D productivity: RQ, short for research quotient. It allows managers not only to estimate the effectiveness of R&D investment relative to the competition but also to see how changes in R&D expenditure affect the bottom line and, most important, a company’s market value. According to her research, if the top 20 firms traded on U.S. exchanges had increased their 2010 R&D investment using the RQ method, the collective increase in market cap would have been a whopping $1 trillion. The longer-run benefits are potentially even greater because the measure allows companies to more closely Hbr.org

LifeArc Ventures - strong performance in 2022 & sustained investment in innovation - LifeArc » LifeArc Ventures, which is committed to investing in innovative early-stage life science companies, today provides an update on its portfolio. Lifearc.org

There’s No Good Alternative to Investing in R&D » Even companies that claim to have a long-term orientation worry about whether R&D is worth the investment. This is because they worry the resulting knowledge might walk out the door, as employees join other firms or start their own and because you can acquire firms that have the needed technology instead. If everyone followed that logic however, there’d be little innovation to walk out the door or to acquire. Fortunately, neither of these concerns is warranted, and research shows why companies, investors, and the nation will be better off if companies make long-term investments in R&D. In summary, there is no free lunch. Acquiring your way to innovation doesn’t work — the only way to stay innovative as a big company is to invest in R&D. Luckily for big companies, investing in R&D is a good strategy. Hbr.org

This Little-Known Drone Could Deliver Another $100 Billion to Northrop Grumman | The Motley Fool » One British newspaper just put a price tag on Northrop Grumman's second-biggest stealth military aircraft project. Fool.com

Should I Quit My Job and Day Trade Government Contractor Stocks? — Abrahams Wolf-Rodda, LLC » Government contractor stocks have generally performed mediocre over the last 21 months and have been a losing bet in an inflationary world. Awrcounsel.com

Forward Price: Definition, Formulas for Calculation, and Example » The predetermined delivery price of a forward contract, as agreed on and calculated by the buyer and seller. Investopedia.com

Read "Beyond Patents: Assessing the Value and Impact of Research Investments: Proceedings of a Workshop–in Brief" at NAP.edu » Read chapter Beyond Patents: Assessing the Value and Impact of Research Investments: Proceedings of a Workshop - in Brief: Companies know exactly what the… Nap.nationalacademies.org

Marrying Warren Buffett And Paul Romer: A Strategy For Value Investing In Technology » The outsized returns of the RQ50 portfolio represent opportunity created by marrying Warren Buffett (value investing) to Paul Romer (endogenous growth theory). Forbes.com