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They could lie about that too and just use linear regression.
by cheez 7y ago
They could lie about that too and just use linear regression.
- eximius 7y agoA linear model on a heretofore unknown predictor is basically how all hedge funds make money. Coming up with the predictor is often the hard part. For example, take the tweets of a (sane) president and run sentiment analysis on it. If it is positively correlated with mentioning an equity, the sentiment of the tweet might be a good linear predictor of the stock price. The math is simple once the feature is well defined. Feature development is the current frontier, as I understand it.
- cheez 7y agoThat's my point. They hire the smart people so they can really abuse the simple stuff.