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While I agree that the article is somewhat vague and imprecise, it is not accurate to encompass all statistical predictions as statarb either. That would more b
by Galanwe 3y ago
While I agree that the article is somewhat vague and imprecise, it is not accurate to encompass all statistical predictions as statarb either. That would more be what "quantitative" is.
For a strategy to be considered statistical arbitrage, it needs to be something _against_ something else. You can do purely directional statistical predictions, and that would not be statarb.
- taylorius 3y agoVery true! Though the dividing line between purely directional, and something against something else is unclear. Every price is against something else, in some sense.