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Z
@ZeeContrarian1
Former Wall Street professional. Special situations, awareness, logic, Buddhism.
加入 September 2013
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Like Buddhism says, the market of last year is not the market we have today. It’s not completely different, but it’s not the same either. That’s also why strategies used to work for much longer periods 10 or 20 years ago. Today, the speed of change in markets is substantially faster, and the variables that move markets change with it. The past can be a reference point, but it can’t be treated as a fixed formula for the future. That’s why backtesting that looks back three, five, or ten years is absolutely meaningless. You’re testing a strategy against a market that no longer exists.
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