Ad Infinitum

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Dictionary Says

Definition of 'Ad Infinitum'

A Latin phrase meaning "to infinity" - in other words, forever. In finance, the term is associated with a perpetuity, in which the payments derived from an asset at fixed intervals are assumed to go on forever and ever, or ad infinitum.
Investopedia Says

Investopedia explains 'Ad Infinitum'

Payments received ad infinitum do indeed go on a very long time. But it's important to realize that, because of the time value of money, the present value (i.e, the value today) of those payments very far off in the future (say, 50 years from now) is negligible. Thus the present value of an ordinary annuity (i.e., one with a fixed end) of 50 years is not very much less than that of a perpetuity whose payments go on ad infinitum.
Search results for

'Ad Infinitum'

  • Elliott Wave Theory

    http://www.investopedia.com/articles/technical/111401.asp
    ... On a smaller scale, within each of the impulsive waves, five waves can again be
    found. In this smaller pattern, the same pattern repeats itself ad infinitum. ...

  • Electronic Arts: From Growth To Turnaround - To Value?

    http://stocks.investopedia.com/stock-analysis/2011/Electronic-Arts-From-Growth-To-Turnaround---To-Value-ERTS-ATVI-THQI-TTWO-GME-AMZN-BBY0509.aspx
    ... This leading video game software company was once a go-go growth stock, with a
    valuation that virtually required double-digit cash flow growth ad infinitum. ...

  • An Introduction To Consensus Indicators

    http://www.investopedia.com/articles/trading/02/111802.asp
    ... investors are in consensus and are driving the market in a particular direction,
    one naturally thinks that the consensus will continue ad infinitum and that ...

  • Energy Sector - Some Surprises In 2012

    http://stocks.investopedia.com/stock-analysis/2011/Energy-Sector---Some-Surprises-In-2012-CHK-CVX-DVN-APA-APC-EOG-COP-MRO-MPC-XOM1228.aspx
    ... Oil production in the United States peaked in 1970 and started a slow decline, and
    most pundits were convinced that this trend would continue ad infinitum. ...

  • 6 Ways Mentors Elevate Your Career

    http://www.investopedia.com/articles/financialcareers/09/finance-mentors-elevate-career.asp
    ... Theory is debatable ad infinitum. You don't want to be in a position where you
    "buy" the advice of a talker, as it usually ends up being terrible advice. ...

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