Seminar 217, Risk Management: Why financial research is prone to false statistical discoveries

Seminar 217, Risk Management: Why financial research is prone to false statistical discoveries

Risk Seminar
Jan 25, 2022, 11:00 AM - 12:30 PM | Zoom | Happening As Scheduled
David Bailey, Lawrence Berkeley National Lab (retired) and University of California, Davis (Speaker - Featured)

Abstract: It is a sad fact that few investment funds, models or strategies actually beat the overall market averages over, say, a 10-year window. Even in academic research work, care must be taken to avoid statistical pitfalls, because: (a) the chances of finding a truly profitable investment design or strategy is very low, due to intense competition; (b) true findings are mostly short-lived