by Patrick Burns.
Abstract: We report on a study of the ability of analysts to distinguish an actual price series of an equity from random alternatives. Virtually all of the statistical tests on the results support the hypothesis that no skill was exhibited in selecting the correct response. Many of the analysts were extremely over-confident about their ability to select correct answers. The one area where it seems skill might have been exhibited is in the selection of correct answers that happened to be far from the random choices.
jun 25, 26
Music and snow. Poke my eyes out Perhaps your immediate response is: ”I’d rather poke my eyes out with a burning stick than do data analysis.” There’s a completely different [...]
jun 25, 26
Move your data analysis to a computing environment specifically designed for it. Why R and not spreadsheets? Here are three reasons: complexity graphics money Spreadsheets are easily overwhelmed. Very complex [...]
jun 25, 26
The steps taken to fix an R problem. Task To prepare for the Portfolio Probe blog post called ”Implied alpha and minimum variance”, I tried to update a matrix of [...]