In his column, Michael Viriato argues that investment decisions should rely on careful analysis, not binary preferences like cheering for a team. He criticizes investors' tendency to treat assets like real estate emotionally, ignoring risks and alternatives. The reflection follows an interview with real estate entrepreneur Alexandre Frankel.
Michael Viriato, an investment advisor and co-founder of Casa do Investidor, writes in his De Grão em Grão column for Folha de S.Paulo about the need for an analytical approach to investments. Published on December 24, 2025, the piece highlights how readers often seek polarized opinions on assets, as if investing were a football match where one picks a side.
Viriato notes that historically, fixed-income investments have outperformed the average return of real estate in many periods, which bothers unconditional real estate advocates. Recently, in an interview with successful real estate entrepreneur Alexandre Frankel, he heard well-structured arguments in favor of property purchases. However, he stresses that listening to viewpoints does not mean automatic endorsement, but rather enriches analytical repertoire.
The trap, according to the author, lies in binary logic: questions like 'is it worth it or not?' lead to poor decisions. The right question involves specific conditions, such as price, location, liquidity, financing, and comparison to similar-risk alternatives. Ignoring these factors turns investments into bets, especially in real estate, where common errors include failing to calculate budget impacts or vacancy scenarios.
Viriato quotes Benjamin Graham, a key figure in investment theory: 'investing is an operation based on thorough analysis, promising safety of principal and adequate return.' Without this analysis, conviction prevails, which does not protect wealth. Investor maturity comes from abandoning fixed sides and recognizing that assets are tools to be used in the right context.
The text concludes with Merry Christmas wishes and encourages more precise questions to turn debates into real investments.