Kevin O’Leary Working Toward PhD

Jet Advisors President working for PhD

I am often asked why I am pursuing my PhD?  The implied question is really, what will it  do for an aircraft acquisition, brokerage and research company like Jet  Advisors.

The answer is: the results of my PhD program   will  greatly help refine our  research methodologies.  The PhD I’m pursing  is primarily a research program in aviation and  will be focusing  on aircraft values.  The largest single  financial event in the ownership of the aircraft is the day you   sell the  aircraft and close the books on your true cost for the aircraft.  My   studies will focus on    understanding how aircraft values fluctuate within their respective categories  and how those categories are correlated with the world’s leading economic  indicators.

The PhD Program in Aviation at Embry Riddle   Aeronautical University  is the first of its kind. In the past  aviation professionals were forced to study under a different discipline and  hopefully be allowed to pursue an aviation topic. Today I have the privilege of studying under  some of most knowledgeable aviation professionals in the world.

The program is focused on research. Each student is expected to use statistical  modeling to prove or disprove their hypothesis. We are expected to find a topic of study and  expand the body of knowledge about that topic.

Why aircraft values?  Understanding the value  of aircraft  is important to the US economy and the resulting  knowledge can provide many jobs. In 2005, the general aviation market produced  $150 billion dollars and provided 1,295,000 jobs. In the last two years, many of those jobs  have been lost. The aircraft  manufacturers play a major role in exporting throughout the world and we want  to improve the understanding of the value of aircraft so that US can continue  to lead the world.

How does this help our clients? General aviation needs well informed aircraft  owners who buy the right sized aircraft for their needs. Many owners buy an aircraft based on improper  data, which could lead to a permanent exit from aircraft ownership. We want our clients to fully understand what  their costs and benefits of aircraft ownership will be and make  an informed, rational decision based on the empirical data Jet Advisors provides. This will create a group of owners who can  sustain their ownership through good times and bad.

The PhD program   is   demanding  but represents a worthwhile challenge.  It will further refine our research and afford Jet Advisors the analytical  tools to inform our clients even better than before.