Investing and Capital Allocation
Move beyond basic stock picks to master valuation, risk management, and capital structure. Learn how capital moves through businesses and how smart portfolios are built.
Like Duolingo, but for Investing and Capital Allocation. Tomo turns the whole topic into a game you play five minutes a day, until it actually sticks.
24 levels across 4 sections, about 48 minutes end to end, roughly 10 days at five minutes a day. It moves through Evaluating Real Business Performance, Portfolio Construction and Risk, Corporate Capital Decisions, and Macro Foundations and Discount Rates. It assumes you already know the basics.
Free forever · No credit card · iPhone & Android
Key ideas in Investing and Capital Allocation
- Accrual accounting recognizes revenue when earned, even if the customer has not yet paid cash.
- Operating cash flow tracks actual cash entering and leaving the company's bank accounts.
- Aggressive revenue timing can inflate accounting net income while cash balances actively shrink.
- Free cash flow subtracts capital expenditures from operating cash flow.
- Businesses must reinvest cash into maintaining property and equipment before paying owners.
- Distributing total operating cash flow starves essential equipment upkeep and damages solvency.
- Building up unsold inventory locks away cash that is not recovered until units sell.
- Slower customer invoice payments increase accounts receivable and delay cash intake.
- Paying suppliers earlier drains cash faster than the income statement reflects.
- Maintenance capex is the mandatory cash spent simply to preserve existing capacity.
- Growth capex represents discretionary cash deployed to expand market share or capacity.
- Firms that cut maintenance capex temporarily inflate free cash flow while rotting core assets.
- Cash leaves the business when settling accounts payable with suppliers.
- Capital remains tied up as inventory is manufactured and sits in stock.
- The cycle closes only when billed receivables are finally collected as bank cash.
- Enterprise value equals market cap plus net debt, showing true takeover cost.
You've tried the other tabs
Thirty open tabs. Four facts you actually kept.
You watched. You nodded. By Sunday it was gone.
One answer, then back to scrolling.
Eight weeks. You meant to finish. You didn't.
Tomo gives Investing and Capital Allocation the Duolingo treatment: levels, streaks, and quick quizzes that test what you just learned. That game loop is what the tabs above never had, so it's the one you actually finish.
Here's what playing it feels like
A real question from this course. Take your best guess.
What does operating cash flow tell you about a company?
Get it right to open this lesson and 23 more in the app.
How to learn Investing and Capital Allocation, step by step
Go in order. 24 short levels across 4 sections, about 48 minutes in all, five minutes a day.
- 1
Evaluating Real Business Performance
- Diagnosing Real Cash Flow
- Valuation Multiples in Context
- 2
Portfolio Construction and Risk
- Strategic Asset Allocation
- Managing Real Downside Risk
- Fixed Income Mechanics
- 3
Corporate Capital Decisions
- Capital Structure and Cost of Capital
- Corporate Capital Deployment
- 4
Macro Foundations and Discount Rates
- Interest Rates and Asset Prices
4 sections · 8 units · 24 levels. Built to play, not to enroll.
Questions about Investing and Capital Allocation
How do I learn Investing and Capital Allocation?
Go in order: start with Evaluating Real Business Performance, then Portfolio Construction and Risk, then Corporate Capital Decisions, then Macro Foundations and Discount Rates. On Tomo that's 24 short levels, about 48 minutes in all, played five minutes a day. Start free and play the first level in under a minute.
Is there a Duolingo-style app for Investing and Capital Allocation?
Yes. Tomo works like Duolingo: short daily lessons, streaks and quick quizzes. Investing and Capital Allocation is one of its free courses, and you can type any other topic to get a course of your own.
Is the Investing and Capital Allocation course free?
Yes. Investing and Capital Allocation is playable on Tomo's free plan, which doesn't expire. No credit card, no waitlist. Download the app and start your first lesson.
How long does it take to learn Investing and Capital Allocation?
24 levels across 4 sections, about 48 minutes of play in total. It's built for five minutes a day, so you finish it a little at a time instead of all at once.
Do I need any background to start Investing and Capital Allocation?
No. It's pitched at an intermediate level, so it starts where you are and builds up. If you can tap a phone, you can start.
Tomo is in ChatGPT
Tomo is also a ChatGPT plugin: the same playable courses, built and played inside your chat.
Add Tomo to ChatGPT- What to ask
- “Make me a Tomo course on black holes.” “Turn this chat into a Tomo course.”
- What you get
- Quick questions with instant feedback, hearts and stars, ready to play in about a minute.
- Where it goes
- No sign-up to start. Connect your Tomo account and your streak carries on in the app.
You pick the voice
Investing and Capital Allocation is taught in the Bestie style: your friend who just gets it. Want a different feel? In the app you can spin up the same topic in any of Tomo's teaching styles. Same facts, totally different vibe.
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Start Investing and Capital Allocation today.
Download Tomo, search Investing and Capital Allocation, and play your first lesson in under a minute.