Comments on: 3 Maths Mistakes That Drive Me Nuts https://www.itinvestor.co.uk/2018/12/3-maths-mistakes-that-drive-me-nuts/ Exploring the world of investment trusts Mon, 28 Jan 2019 11:46:40 +0000 hourly 1 https://wordpress.org/?v=6.9.4 By: ITinvestor https://www.itinvestor.co.uk/2018/12/3-maths-mistakes-that-drive-me-nuts/#comment-80 Mon, 28 Jan 2019 11:46:40 +0000 https://www.itinvestor.co.uk/?p=1131#comment-80 Interesting question dearieme. I don’t have the data to hand right now, but I seem to recall the big down days were largely in the depths of bear markets as well. They were of the same sort of order, so missing the 10 worst might have added 100% to your returns in the same way as missing the 10 best knocked 100% or so off.

It’s nothing something I have looked at it in any detail but I suspect many hedge funds have algorithms looking for this sort of stuff. The problem, I suspect, is that you would get a lot of false signals and the costs of trading in and out on these would eat up any gains you made by missing out the worst days.

]]> By: dearieme https://www.itinvestor.co.uk/2018/12/3-maths-mistakes-that-drive-me-nuts/#comment-77 Sun, 27 Jan 2019 19:05:17 +0000 https://www.itinvestor.co.uk/?p=1131#comment-77 “Had the ten best days been missed …”: and had the ten worst days been missed?

Is it easier to predict the best days or the worst days?

Best days (I have read) usually correspond to announcements of macro-economic policy. How about worst?

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