Investment Talk

Crowd Science

I was recently reading the book The Wisdom of Crowds by James Surowiecki.  A succinct description of the book is best given by relating an example he puts forward in …

Compounding With Futures

This is probably the most exciting post on this website as it shows the power of the quantitative investment approach.  Although conventional investing wisdom talks a lot about the power …

How Risky Are Futures?

In the posts Quantifying Market Risk and Quantifying Trading System Risk we had a look at the risks involved in the financial markets in general and the risks involved in …

Quantifying Market Risk

There is a widely held perception that investing in the futures markets is risky.  In particular, the possibility that you can lose more than your invested capital is a big …

How Risky Are Stocks?

Conventional investing wisdom says that investing in stocks is riskier than investing in bonds.  In fact, the percentage allocation of a portfolio to stocks vs bonds is usually determined by …

Buyer Beware

You might be interested in using a quantitative approach for your investing but you do not have the background or the time to develop your own quantitative strategies.  If you …

Dollar Cost Averaging

One of the tenets of conventional investing wisdom is Dollar Cost Averaging (DCA).  This means buying a fixed dollar amount of the underlying security on a regular basis as discussed …