3 ms·
Interesting. The gist seems to be that we model market events with normal distributions, which is consistent with what I've seen in other "natural" and/or emerg
by fromthestart 8y ago
Interesting. The gist seems to be that we model market events with normal distributions, which is consistent with what I've seen in other "natural" and/or emergent processes, and this underestimates risk, because the true distribution is fat tailed.
- fnord123 8y agoThis came out in the same year as Taleb's Black Swan: https://www.springer.com/us/book/9781846284199 https://www.springer.com/us/book/9781846284199 Enjoy!