Carlos Pascual
Joined November 2021
0 stories
Bio
Writing Helps Me Keep Learning Of Wild Chance | Fat Tails | Long-Term Dependence | Concentration | Discontinuity.
Writer at www.asymmetricfinance.co
Stories (2/0)
A 100-Year Backtest That Beats The Market By Far
It is very easy to test an investment strategy by looking in the rear-view mirror or backtesting. Generally, these backtest are done with very high overfitting, this means that the parameters chosen at the time of selecting the stocks and the time of holding them in the portfolio are so specific that obviously, that trend will not give the same returns over time. In addition, most of these models are made on a specific period of history, as they would not have worked in any other period of time of the economic cycle.
By Carlos Pascual3 years ago in Trader
