What's wrong with Quant Investing? Let's try to challenge it
Every Finance or Stock Market Guy with little understanding on Machine Learning and Artificial Intelligence would start dreaming about creating a algorithm to predict the stock market. Of course, mine also started the same way. Let me first explain the basics around the quants to better understand the drawbacks and how I try to challenge the very drawbacks of the quants. What is Quant? I mean Quantitative Investing. So, What is Quantitative Investment Strategy? In this strategy the model of valuation would be created by utilizing the skills of the Finance, Stats and Coding to evaluate a security (shares) and predict the pricing of the same. Investopedia says "Quantitative investment strategies have evolved into complex tools with the advent of modern computers but the strategies' roots go back over 80 years. They are typically run by highly educated teams and use proprietary models to increase their ability to beat the market. " Why Quants? A Person need to stick on to a...